Talking Points:

• The ECB recognized the do-or-die situation with the EURUSD exchange rate given its policy meeting

• While the central bank didn't act with more stimulus now, it made clear change would come in June

• A view of additional stimulus will now determine whether EURUSD, EURJPY and EURAUD continue lower

Looking for setups in the Euro crosses based on your expectations for range, breakout and trend development? Watch the signals in DailyFX-Plus or apply automated versions in the Mirror Trader paltform.

The ECB fired a shot over the market's bow and sent the Euro tumbling. Is this another one-off volatility event or is there more trend in this event? A technical correction versus a true reversal rests in the changes that have occured and how traders will adjust moving forward. EURUSD's strong reversal below 1.4000 and EURJPY's wedge breakdown speak to the surprise of an explicit threat for stimulus from the central bank in June. We know the market adjusts to known policy changes, and this is no different. We look at Euro crosses - with specific focus on EURUSD, EURJPY and EURAUD - after the ECB's move in today's Strategy Video.

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