ECBs Lane: High conviction that disinflation is on track

ECBs Lane is speaking and says:

• High conviction that disinflation is on track
• Some recent data raise questions about growth projections.
• Good recovery in economy still plausible baseline.
• Don’t have dramatic weakening of the economy.

The EURUSD has rebounded in early US trading and is up testing the falling 100 bar moving average on the five minute chart at 1.07805. Sellers have leaned so far against that level as intraday traders look to keep a lid on the correction. A move above could see further upside probing with the short-term 200 bar moving average (green line on the chart below) at 1.0789 and a swing level at 1.07912 as close resistance levels to get to and through to give buyers more confidence.

This article was written by Greg Michalowski at www.forexlive.com.