ECB's de Guindos is also speaking saying:
- markets overreacted to positive US CPI data
- inflation raises the risk of 2nd round of facts
- a technical recession is very likely
- quantitative tightening needs to be done carefully
- it is illegal to keep inflation expectations well anchored
- markets may be underestimated inflation persistence
The EURUSD is trading back above the 1.0300 level for the 1st time since August 12. There is any upside swing area between 1.0339 1.03657 on the daily chart below. The move to the upside has taken the EURUSD above the 38.2% retracement of the move down from the 2022 high. That retracement comes in at 1.02836 and is bracketed by a swing area from July and August between 1.0273 and 1.0293. Stay above those levels in the short-term keeps the buyers in control.
EURUSD moves above its 38.2% retracement
