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EURo lower to start the week

Euro opened marginally lower today with Catalan crisis still simmering. ECB meet this week and are expected to scale down asset purchase program while extending it through the next six or nine months. A dovish surprise seems more likely than a hawkish one.
50 DMA is acting as a resistance since late September. Potential head and shoulders top with the neckline near 1.17 projects towards 1.13. The neckline is reinforced by 100 DMA ahead of the next stronger support at 1.1615.
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EURo posts a new cycle-high after ECB meeting

ECB seem to be in no hurry to continue scaling back its asset purchase program, though Draghi said they'll likely do so in October. Growth forecasts were revised higher and inflation forecasts lower, which may keep euro appreciation pace contained.
Unwinding of so called Trump trade is what is also driving EUR/USD gains. The pair posted another cycle-high this night, continuing its slow but steady grind higher. It's possible that there will be no significant retracement until some kind of a capi…
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Cable awaits the BOE

Today is perhaps the biggest day for the pound since UK EU referendum. The BOE is widely expected to cut the official bank rate to 0.25% from 0.50% while many also expect it to come up with some form of lending and/or asset purchase program.
The stakes are high and, depending on the outcome, there could be a large reaction either way. COT report showed a record net short position last week and it may take a truly bold action by the bank to send the pair below 1.30.
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