Unusual for my style, I traded in scalping mode during the ECB press conference. I don’t really like to do this, but I have bad memories of going into the ECB event with a technically sound position and being whipped for over 100 pips in both directions within half hour. So I tend to get nervous around this event.
Today’s event was pretty tame and stayed true to the technical picture before the event. If I had stayed long where I first entered, I’d be up 200 pips now. Never mind. There will be more chances. The important thing is that I didn’t lose much in the gyrations today. I am now out of EUR, but will look to re-enter EURJPY and EURUSD especially if they go to attractive levels again later: 1.3050 or 123.50.
The EURUSD has validated a s-t double bottom whose upside target is around 1.3165. The daily chart suggests we could get a correction to 1.33 / 1.34 over the next few days. That will be a good level to go short, as the bigger picture is still bearish.
USDJPY is super-bullish, in line with the DXY. I am long and comfortable this pair. I hope it breaks 95 today or tomorrow.