ECB Trichet Press Conference 10/08/09

[flv:http://www.newsprofiteer.com/100809-trichet/100809-trichet.mp4 480 360]

8:30am (NY Time) EU Trichet Press Conference
ACTION: EUR/USD     BUY (Hawkish)   SELL (Dovish)

Trichet will once again deliver a statement along with a Long and boring Q&A session afterwards.  This press conference is usually very volatile and the market is always listening to Trichet’s tone for future ECB policies.  If Trichet is hawkish, then we will see EURO gain, if  Trichet is dovish, then we will see EURO lose against all other currencies.

Fair Warning: If you have never traded this release, it is better to stay out of the market.  Wait until around 9:30am~10:00am NY Equity open, then follow the trend.  If Trichet is hawkish or being optimistic, then EUR/USD will gain throughout the session and may even carry over to Friday.  Therefore there are plenty of opportunities to trade after the market has already established itself.

This Press Conference is usually done in 2 parts, the first part is a written statement which various newswire services will release headlines immediately at 8:30am, then Trichet will read through the statement; 2nd part of the press conference is a Question and Answer session where Trichet will take questions live from onsite media members.  This part is highly unpredictable as Trichet may hint the market and drive prices intentionally.  As I once heard from someone who knows Trichet personally, that there is never a slip-of-tongue with Trichet, he does everything intentionally.

However, Trichet is pretty good in maintaining a neutral stance, but sometimes market may read too much into his statements and move excessively… so once again, if you have not traded this release before, best to stay out.

Related posts:

1. ECB Trichet Press Conference 08/06/09
2. ECB Trichet Press Conference 11/05/09
3. ECB Trichet Press Conference 09/03/09
4. ECB Trichet Press Conference 12/03/09
5. ECB Trichet Press Conference 06/10/10 – Mininum Bid Rate Decision
6. Forex Analysis – Trichet Press Conference – 07/07/11
7. ECB Minimum Bid Rate Decision 10/08/09
8. Detailed Analysis For ECB Trichet’s Interest Rate Press Conference
9. ECB Minimum Bid Rate Decision 09/03/09
10. Forex News Trading EU ECB Interest Rate Decision 05/05/11

Tagged as: currencies, ECB, EUR, Inflation, Interest rate, monetary policy, newswire services, Trichet, USD