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28 Nov 2013
EUR/GBP rebounds to 0.8330
FXstreet.com (Edinburgh) - The early decline in EUR/GBP seems to have bottomed out near 0.8310, sparking a correction higher to the current 0.8325/30 area on Thursday.
EUR/GBP remains bearish
The stronger pound remains the main drag for the cross so far, despite the firmer tone in the shared currency. Recent data from Germany showed consumer prices rising beyond forecasts for the month of November, collaborating with the current EUR resilience. “Although slippage has so far held above 0.8285 (50% of the gains seen since mid-2012), the bias remains for a measured down-leg to test the deeper 61.8% retracement level at 0.8160”, noted Tim Riddell, Head of Global Markets Research at ANZ.
EUR/GBP critical levels
As of writing the cross is down 0.21% at 0.8320 with the next support at 0.8300 (low Nov.7) ahead of 0.8285 (50% of 0.7756-0.8815) and then 0.8267 (low Jan.16). On the upside, a break above 0.8359 (MA10d) would aim for 0.8386 (high Nov.27) and finally 0.8386 (MA21d).
EUR/GBP remains bearish
The stronger pound remains the main drag for the cross so far, despite the firmer tone in the shared currency. Recent data from Germany showed consumer prices rising beyond forecasts for the month of November, collaborating with the current EUR resilience. “Although slippage has so far held above 0.8285 (50% of the gains seen since mid-2012), the bias remains for a measured down-leg to test the deeper 61.8% retracement level at 0.8160”, noted Tim Riddell, Head of Global Markets Research at ANZ.
EUR/GBP critical levels
As of writing the cross is down 0.21% at 0.8320 with the next support at 0.8300 (low Nov.7) ahead of 0.8285 (50% of 0.7756-0.8815) and then 0.8267 (low Jan.16). On the upside, a break above 0.8359 (MA10d) would aim for 0.8386 (high Nov.27) and finally 0.8386 (MA21d).