Yellen’s Speech Certainly Had An Effect

FED’s Janet Yellen’s speech yesterday certainly had the expected effect on the market. EUR/USD fell over a hundred pips and broke below the support level at 1.2860. I shorted at the very beginning of the drop, so thank you so much, Yellen! Congratulations to everyone who managed to short on time as well. EUR/USD is in a pullback at the moment and I intend to wait it out before I short again, because I believe that once it ends, EUR/USD will continue its descent with target 1.2750 – 1.2700. I keep wondering, however, whether it will break below that level or we will see a more long-term correction.