FX.co ★ EUR/USD analysis for March 12 2021 - Potential completion of the ABC upside correction and further downside movement

Remarks by ECB policymaker, Madis Muller

• Planned total size of PEPP "will remain the same"
• Don't overestimate yields impact on the recovery

If he's trying to send a strong message, saying that the total PEPP envelope will stay the same isn't really all too convincing. Nonetheless, with plenty of ambiguity as to how much so the ECB will pursue quicker and more purchases, they will have more to do in the months ahead in order to pacify the market - as evident already today.

Further Development

Analyzing the current trading chart of EUR, I found that gold is heading towards our downside targets from yesterday and that selling power is still very strong.

Key Levels:

Resistance: 1,1990

Support levels: 1,1875 and 1,1840.