10 March, AtoZForex, Amsterdam — The market is set for the Live ECB meeting, which is starting at 1:30pm GMT. For EURUSD the market is in overall leaning towards the bearish side, due to the predicted plan of the ECB to increase asset purchasing program and cut of interest rate by 10 basis points. Hence, bear in mind the 3 major expectations, which are outlined below.
- Interest Rate cut by 10 basis points
- Possible increase in Asset purchasing program by EUR 10 Bln per month
- Tiering to local central banks
Watch today’s Live ECB meeting at 1:30 pm GMT (London time).
ECB Live Updates
- The ECB has cut its benchmark interest rate from 0.05% to 0%
Bank deposit rate gets decreased to -0.40%, a 10 basis points decline
Marginal lending facility rate decreased to 0.25% drop, a 5 basis points drop
- QE program expanded by €20bn to €80bn a month, commencing in April
EURUSD SELL LIMIT
From today’s webinar, how to trade the ECB cut rate, we projected that if the ECB cuts interest rate, then you could expect the market to break below the 1.0945 level. As it could trigger further bearishness to the 1.0870 level. It is clear that the market is overall bearish, so why not turn the tables around and look for hiccups in the market. Instead of going for the sell stop order, go for the sell limit.
EURUSD SHORT (SELL Limit) @ 1.1040, SL@ 1.1080, TP1@ 1.0980, TP2@ 1.0950, TP3@ 1.0865
EURGBP is under pressure
Despite the Brexit fears, today the ECB could put the pair under bearish more pressure. The pressure is at the 100% Fibonacci retracement zone level, which is basically the lowest low of last week, so if we see that the market is breaking below the 0.7680 level. We could possibly see the pair move on to the bearish side. Watch today’s video to learn the short opportunities and initial targets of EURGBP.
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