EUR USD falls on ECB president Mario Draghi's remarks, GBP USD and AUD USD still falling, USD CAD moves down in corrective leg
EUR USD dropped 110 pips Thursday morning at 8:30 am EST USA upon hearing the words of ECB President Mario Draghi regarding the Eurozone. The pair gained a good portion of that move back as the pair rose throughout the New York trading session Thursday. The pair has been lower during London trading this morning 1/22/16. Still very rangy price action.
GBP USD is moving up during London 1/22/16 and we expect Cable to eventually continue its move down after this correction. Still bearish.
AUD USD has risen approx 200 pips in the last 2 days and we are still AUD USD bears. We consider this move corrective against the down trend.
USD CAD has dropped over 300 pips in the last 2 days. There has been a spike in volatility in USD CAD in recent months and the trading range has increased considerably. Trading this pair has been frustrating for Retail traders with small stops who are not used to the volatility. USD CAD could be setting up for a retest of the recent highs. Only time will tell.