Fed Cuts Rate, US Dollar Falls

After a 0.75% rate cut on Tuesday to 0.25%, US now officially has the lowest interest rate amongst major currencies. This marks the first time the target rate has been below 1.00% in 50 years. The FOMC is said to be targeting a fed funds rate ranging from 0.00% to 0.25% and. It looks to be following the foot step of Japan? Table above from dailymarkets.com

The aggressive rate cut has sent the US dollar diving, although technically speaking, the chart was already showing a rounded topping pattern around late Nov / early Dec when it is unable to break resistance @ 88 and MACD showing negative divergence. There is potential support at around 80. If it breaks further, next support level to look out for would be 76.

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