The EUR/USD pair tried to rally for the session on Thursday as the markets expected Ben Bernanke to talk about stimulus in front of the Congress. The fact is that he didn’t explicitly say so, and even mentioned that the actions that the Fed could take will be less effective than in recent past.
The action for the day was a bit concerning for the bulls, and the candle ended up as a shooting star. The 1.26 level held as resistance, and it will only take one negative headline to push this pair back down. The situation in Europe is crumbling quickly, and as a result this pair looks ready to fall again. A break of the lows for the Thursday session has us selling again.
Written by FX Empire