Global macro overview for 11/03/2016:
The ECB cut the interest rate to the level of 0.0% from 0.05% yesterday as Mario Draghi unleashed the bazooka on its yesterday's meeting. As well as cutting all its main rates, the bank lifted its asset buying program by 20 billion euro a month and, in a bombshell, expanded the assets to include non-bank corporate debt. In conclusion, yesterday's scenario one described by me before the ECB meeting has been completely fulfilled. Moreover, it is worth to mention, that ECB's head Mario Draghi stated clearly that the regulator do not anticipate that it will be necessary to reduce rates further. This means the negative interest rates in the EU are off the table for now.
Let us now take a look at the EUR/USD pair after the data release. The market rally had been capped at the level of 1.1218. Bulls seem to have the control over the market for now as the next support is seen at the level of 1.1066 and the next resistance is an old swing high at the level of 1.1376.
