18 Jan 2016
EUR/GBP dips below 0.76
FXStreet (Mumbai) - The EUR/GBP pair extended the drop in Europe to hit a session low of 0.7595 as the cable rose above 1.43 handle.
GBP recovers along with European stocks
Sterling is witnessing a technical correction as the European equities advanced despite the drop in oil prices to lowest since 2003. The slide in the GBP over the two weeks was accompanied by a risk-off mood in the equities.
The risk aversion also led to carry unwind and rally in the EUR. Consequently, the cross rose to a one-year high, before weakening in Asia today. The pair now trades around 0.7600 levels.
EUR/GBP Technical Levels
A break below 0.76 handle could see the pair extend the drop to 0.7555 (Jan 11 high). On the other hand, a break above the immediate resistance at 0.7694 (Friday’s high) would open doors for a rise to 7714 (Jan 21 high).
GBP recovers along with European stocks
Sterling is witnessing a technical correction as the European equities advanced despite the drop in oil prices to lowest since 2003. The slide in the GBP over the two weeks was accompanied by a risk-off mood in the equities.
The risk aversion also led to carry unwind and rally in the EUR. Consequently, the cross rose to a one-year high, before weakening in Asia today. The pair now trades around 0.7600 levels.
EUR/GBP Technical Levels
A break below 0.76 handle could see the pair extend the drop to 0.7555 (Jan 11 high). On the other hand, a break above the immediate resistance at 0.7694 (Friday’s high) would open doors for a rise to 7714 (Jan 21 high).