EURUSD SLIPS AHEAD OF ECB POLICY DECISION

The EURUSD has slipped beneath designated support at 1.1255, falling back towards the Monday price low at 1.1233. Speculation that the European Central Bank will downgrade inflation forecast for 2019, continue to keep the pair range bound between 1.1204 to 1.1284.

Mario Draghi's policy statement will be the main point of contention today, with financial market traders looking for a possible change in wording towards the ECB's current quantitative easing programme.

Short-term indicators suggest the pair is bearish whilst trading below the 1.1255 area.

With both M5 and M15 charts confirming that the 1.1255-57 level is being used as a major pivot point by intraday EURUSD traders.

Heading into the ECB the 1.1204 and 1.1284 levels become paramount, with fundamentals dictating the technicals.

A move below 1.1204 should see a rapid sell-off towards 1.1170 and then 1.1148, with a move to 1.1110 likely to ensue once below 11148.

To the upside, a move above 1.1284 should trigger stop loss orders, and move the pair above 1.1300. Buying interest is likely to quickly accelerate towards 1.1350 and 1.1410 resistance areas, once price clearly breaches 1.1301.