Take a look at the chart to the right because you don’t see reversals like this very often. After trading down as much as 1.62% on an intraday basis following the release of the ECB statement at 7:45 eastern time, the Euro bottomed relative to the dollar shortly after Mario Draghi began speaking at 8:30. Since then, it has rallied more than 3%. In the history of the currency, there hasn’t been a single day where the Euro was down 1% intraday and rallied back more than 3% off that level.
In today’s Chart of the Day sent to all of our subscribers, we’ve identified prior reversals in the Euro similar to today and showed what the short-term impact was on the US equity market.
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