Sasha Singh
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Most Awaited ECB Decision !!

Finally ECB decided to cut rates for which investors were waiting since a long time. Today European Central Bank lowered it benchmark interest rate from .25% to .15% to increase growth in the economy and curb deflation in Eurozone. Deposit rate is now below zero at -.1% which can be interpreted as if commercial banks keep their money with central bank they will need to pay instead if earning interest. This is to basically increase credit in the economy and promote lending to businesses. The main reason for this decision by the central bank is sluggish growth in economy.

(EURUSD : Daily Chart)

EURUSD was consolidating within descending triangle prior to the decision and broke down after the announcement. For now the pair might find support at 1.3477 but for long term the pair should continue to decline because of the easing.