EUR/USD reaches 1.0600 as Draghi turns hawkish

The demand for the single currency has picked up extra pace following Draghi’s presser today, allowing EUR/USD to clinch fresh highs around 1.0600.

EUR/USD bid after TLTRO ruled out

Spot is now pushing higher after President Draghi said the Council did not discuss the implementation of another TLTRO, while he reiterated that the ‘euro is irrevocable’.

In addition, Draghi said the Council has removed the earlier reference to use all instruments while it noted there is ‘no longer that sense of urgency in taking further actions’.

President Draghi has also showed confidence that slack will disappear and wages will gather traction.

EUR/USD levels to watch

At the moment the pair is gaining 0.49% at 1.0593 facing the next up barrier at 1.0608 (55-day sma) ahead of 1.0630 (short-term resistance line) and finally 1.0643 (high Mar.6). On the other hand, a break below 1.0525 (low Mar.9) would target 1.0513 (low Mar.1) en route to 1.0499 (low Mar.3).