13 May 2014
EUR/GBP retreats from highs
FXStreet (Edinburgh) - The euro is now running out of steam once again, dragging the EUR/GBP from session peaks in the 0.8175/80 band.
EUR/GBP hurt by EUR weakness
The cross managed to pick up pace after printing fresh multi-month lows near 0.8140 yesterday, although the offered tone would prevail as long as the demand for single currency remains subdued. Ahead in the week, the BoE’s Quarterly Inflation Report and the advanced CPI figures in the euro bloc will keep EUR/GBP under pressure. In the opinion of Paul Robson, “We expect a test, at some stage this week, down below 0.8150/60. The potential for EUR/GBP changes dramatically on a close below 0.8150/60. Wait for confirmation as the targets below there start at 0.8000/20 and head into 0.78/0.79 area as well”.
EUR/GBP relevant levels
The cross is now losing 0.04% at 0.8151 with the next support at 0.8143 (2014 low May 12) ahead of 0.8134 (low Jan.9 2013) and then 0.8100 (psychological level). On the upside, a break above 0.8174 (high May 13) would expose 0.8183 (high May 9) and finally 0.8194 (10-d MA).
EUR/GBP hurt by EUR weakness
The cross managed to pick up pace after printing fresh multi-month lows near 0.8140 yesterday, although the offered tone would prevail as long as the demand for single currency remains subdued. Ahead in the week, the BoE’s Quarterly Inflation Report and the advanced CPI figures in the euro bloc will keep EUR/GBP under pressure. In the opinion of Paul Robson, “We expect a test, at some stage this week, down below 0.8150/60. The potential for EUR/GBP changes dramatically on a close below 0.8150/60. Wait for confirmation as the targets below there start at 0.8000/20 and head into 0.78/0.79 area as well”.
EUR/GBP relevant levels
The cross is now losing 0.04% at 0.8151 with the next support at 0.8143 (2014 low May 12) ahead of 0.8134 (low Jan.9 2013) and then 0.8100 (psychological level). On the upside, a break above 0.8174 (high May 13) would expose 0.8183 (high May 9) and finally 0.8194 (10-d MA).