4 Aug 2015
EUR/GBP jumped to fresh highs near 0.7040 on UK data
FXStreet (Mumbai) - EUR/GBP extended gains and spiked to fresh session highs beyond 0.70 handle in the European morning, after the pound lost ground following unexpected deceleration in the construction sector activity in the UK, reflected by Markit/CIPS Construction PMI.
EUR/GBP rises from 0.7020
Currently, the EUR/GBP pair trades 0.13% higher near fresh session highs of 0.7040 posted immediately post the data release. The cross in EUR/GBP extended to the upside after the pound was beaten by the European currency on the release of downbeat UK construction PMI report.
Markit/CIPS headline construction PMI index ticked down to 57.1 in July, from a four-month high of 58.1 in June, and below market estimate of 58.5. The official figures showed the overall performance within UK construction companies fell 1.3% between April and May after declining 0.5% a month before, while the output measured on an annual basis increased by 1.3%.
On the EUR-side of the story, the EUR/USD pair defends gains and consolidates below 1.1000 levels awaiting fresh incentives from the upcoming US data amid a data-light EUR economic calendar.
EUR/GBP Technical Levels
To the upside, the next resistance is located at 0.7044 (Aug 3 High) levels and above which it could extend gains 0.7100 levels. To the downside immediate support might be located at 0.7001 (July 31 Low) below that at 0.6987 (July 23 Low).
EUR/GBP rises from 0.7020
Currently, the EUR/GBP pair trades 0.13% higher near fresh session highs of 0.7040 posted immediately post the data release. The cross in EUR/GBP extended to the upside after the pound was beaten by the European currency on the release of downbeat UK construction PMI report.
Markit/CIPS headline construction PMI index ticked down to 57.1 in July, from a four-month high of 58.1 in June, and below market estimate of 58.5. The official figures showed the overall performance within UK construction companies fell 1.3% between April and May after declining 0.5% a month before, while the output measured on an annual basis increased by 1.3%.
On the EUR-side of the story, the EUR/USD pair defends gains and consolidates below 1.1000 levels awaiting fresh incentives from the upcoming US data amid a data-light EUR economic calendar.
EUR/GBP Technical Levels
To the upside, the next resistance is located at 0.7044 (Aug 3 High) levels and above which it could extend gains 0.7100 levels. To the downside immediate support might be located at 0.7001 (July 31 Low) below that at 0.6987 (July 23 Low).