Flash: Sell EUR/USD on upticks ahead of ECB - Danske Bank

FXstreet.com (Barcelona) - Danske Bank strategists note that yesterday, ECB president Mario Draghi in his speech in Frankfurt refrained from commenting on the latest low inflation prints and the scope for further monetary accommodation.

Key Quotes

“The flattening of the EONIA forward curve indicates that the market seems to be discounting either a full refi cut or that the ECB will encounter a declining liquidity situation - or a combination of the two.”

“We still expect a dovish ECB and we would still consider to sell EUR/USD on upticks ahead of the ECB meeting tomorrow.“