Danske Research discusses EUR/USD outlook in light of today's ECB policy decision and maintains a neutral bias in the near-term.

"The ECB was on the dovish side, with little new information in terms of policy signals, but it opened the door for further policy easing, in particular the tiering system. The pros and cons of the tiering system are still to be assessed, although Mario Draghi was very careful not to use the word ‘tiering’ as such. In our view, the ECB did not provide arguments for EUR/USD to fall much further from here and we stick to our call for the cross to trade around 1.13 in 3M," Danske adds.