5 Sep 2013
EUR/GBP glued to 0.8450 ahead of BoE & ECB
FXstreet.com (Barcelona) - The EUR/GBP foreign exchange cross rate is last trading around 0.8448 little changed for the Asian session ahead of a busy London session with BoE meeting at 11:00 GMT followed by ECB at 11:45 GMT and the press conference 45 minutes later.
EUR/GBP seems likely for a further drop
“EUR/GBP started to form a channel down pattern on July 23, when the pair bounced off its two-week low of 0.8582 to rally towards almost a half-year high of 0.8770,” said the Dukascopy Bank Team, adding: “However, the currency couple came off this mark to move to the south to its 14-week low at 0.8447, the level close to which it is trading now. It seems that a further drop is likely as the pair is trading below its 20-and 200-bar SMAs.”
EUR/GBP key technical levels
Immediate support to the downside for EUR/GBP lies at recent session lows 0.8444, followed by yesterday's fresh 3-month lows at 0.8426, and May 16 lows at 0.8421. To the upside, closest resistance shows at recent session highs 0.8455, followed by Monday's lows 0.8470, and past Friday's lows at 0.8518.
EUR/GBP seems likely for a further drop
“EUR/GBP started to form a channel down pattern on July 23, when the pair bounced off its two-week low of 0.8582 to rally towards almost a half-year high of 0.8770,” said the Dukascopy Bank Team, adding: “However, the currency couple came off this mark to move to the south to its 14-week low at 0.8447, the level close to which it is trading now. It seems that a further drop is likely as the pair is trading below its 20-and 200-bar SMAs.”
EUR/GBP key technical levels
Immediate support to the downside for EUR/GBP lies at recent session lows 0.8444, followed by yesterday's fresh 3-month lows at 0.8426, and May 16 lows at 0.8421. To the upside, closest resistance shows at recent session highs 0.8455, followed by Monday's lows 0.8470, and past Friday's lows at 0.8518.