EURUSD dropped as ECB lowered the benchmark interest rate to 0.50 percent. US Non-farm Payrolls on tap.

EURUSD dropped yesterday and closed at 1.3063. The European Central Bank lowered its key interest rate with 25 basis points to 0.50 percent. The President of the ECB Mario Draghi stated that the central bank is ready for negative interest rates on deposits and that the economic outlook is negative. The Manufacturing Purchasing Managers Index in the Eurozone rose to a reading of 46.7 in April. On the other side of the ocean the Unemployment Claims in the United States dropped to 324K. Support for the EURUSD is seen at 1.3055 and resistance is seen at 1.3159. The HotForex Traders Board shows that 61 percent of the traders are short on the EURUSD.

GBPUSD

The Cable dropped yesterday and closed at 1.5533. The United States dollar strengthened after the US trade deficit dropped to 38.8 billion dollars and the Unemployment Claims dropped to a reading of 324K. The Services Purchasing Managers Index released today came out at a reading of 52.9 beating the market expectation of 52.5. Support for the GBPUSD is seen at 1.5469 and resistance is seen at 1.5586. The HotForex Traders Board shows that 53 percent of the traders are short on the GBPUSD.

EURUSD dropped as ECB lowered the benchmark interest rate to 0.50 percent. US Non-farm Payrolls on tap.