Strategist at Westpac Richard Franulovich has recommended selling the pair on an occasional test of the 1.1200 area. Key Quotes “EUR/USD is materially overvalued against 2yr Bund-Tsy spreads, the latter suggesting 1.05/06 is more “reasonable”. “That said a run at 1.12 likely if Draghi does not leapfrog expectations, as seems likely. Any squeeze though should lack legs, the FOMC a week later likely to sound more hawkish by noting that future meetings are live and the risks are balanced”. “EUR/USD a sell into 1.12”. Trade the ECB rate decision and Mario Draghi speech – Live Coverage For more information, read our latest forex news.