Opportunity To Grab 50+ PIP Movement During Core Event Of The Day : ECB Interest Rate Decision
ECB Interest Rate Decision
The core event for the day is Euro Zone’s interest rate decision due today at 1145 GMT/1715 IST. ECB has maintained interest rate at 0.00 pct since March 2016. This time also markets have expected unchanged rate but focus turns on ECB policy rate statement followed by press conference too. Short term interest rates are the paramount factor in currency valuation – traders look at most other indicators merely to predict how rates will change in the future.
Let’s see how Euro has reacted during the previous data release:
Note: Important to note here that, at the time of ECB Press Conference, U.S. has also scheduled various economic indicators and therefore EURUSD movement may be affected due to mixed economic data.
EUR/USD: The euro trades marginally higher ahead of ECB interest rate decision. The pair made intraday high at $1.1836 and low at $1.1798 mark. A sustained close above $1.1802 tests key resistances at $1.1851, $1.1936, $1.1975, $1.2022, $1.2047, $1.2082 and $1.2120 mark respectively. On the other side, a sustained close below $1.1774 will target key supports around $1.1737, $1.1695, $1.1654, $1.1590, $1.1540 and $1.1526 marks respectively.
Take a look and do trade wisely!