FXStreet (Edinburgh) - Analyst at Westpac Global Strategy Group noted the offered tone in the EUR, and recommends selling the cross on strength.
“Draghi’s press conference on Thu should be low key with the ECB in wait and see mode as June’s easing measures filter through the region and with the Bank still focused on implementing TLTRO as well as preparations for outright ABS purchases”.
“That said, Draghi is sure to strike a dovish tone, especially after the 0.4% y/y headline CPI reading”.
“EUR is showing some backbone on multiple crosses, highlighting a shift away from broad EUR weakness to broad USD strength. But we suspect it won’t be long before EUR-cross selling resumes. EUR/GBP a sell into 0.7980”.