FXStreet (Guatemala) - EUR/GBP is currently trading at 0.7140 with high of 0.7158 and a low of 0.7084.
EUR/GBP has managed to out-do the bears and has made a full on recovery from the 0.7040 support, up through 0.7080 with little opposition, jumping through the hoops of 0.7100 and rallying 50 pips before meeting supply, then back to 0.7120 support before another test of the 0.7150 level, which is resisting again at time of writing.
Today, the move was extended in the cross to the upside with poor retail sales in the UK with 0.1% vs 0.4% expected M/M and 4.2% vs 4.4% Y/Y. However, the catalyst for the start of the move was a weak dollar yesterday post the dovish FOMC minutes, propelling the euro further forward as it continues to unwind shorts from the 1.13 handle's downtrend.
There has also been progress in the EZ in respect to Germany approving the bailout package of which Greece are using to meet their debt re-payments on time. Meanwhile, in respect of Greece, the uncertainties are bouncing back, with the news from Greek PM, Alexis Tsipras, who could resign today and call snap elections tonight, when Tsipras is expected to make a statement according to local media.
EUR/GBP challenging key resistance zone
EUR/GBP is up to challenge the mid point of the key 0.71 handle and resistance that was formed on a minor recovery from the lows of the 0.7220 downtrend. This is a third attempt on the recovery since 18th July's uptrend. Failure here will bring back scope for 0.6990 June lows again. Beyond there we have the July low at 0.6937, and this would be the breakdown point to the 0.6541 2007 low.
EUR/GBP has managed to out-do the bears and has made a full on recovery from the 0.7040 support, up through 0.7080 with little opposition, jumping through the hoops of 0.7100 and rallying 50 pips before meeting supply, then back to 0.7120 support before another test of the 0.7150 level, which is resisting again at time of writing.
Today, the move was extended in the cross to the upside with poor retail sales in the UK with 0.1% vs 0.4% expected M/M and 4.2% vs 4.4% Y/Y. However, the catalyst for the start of the move was a weak dollar yesterday post the dovish FOMC minutes, propelling the euro further forward as it continues to unwind shorts from the 1.13 handle's downtrend.
There has also been progress in the EZ in respect to Germany approving the bailout package of which Greece are using to meet their debt re-payments on time. Meanwhile, in respect of Greece, the uncertainties are bouncing back, with the news from Greek PM, Alexis Tsipras, who could resign today and call snap elections tonight, when Tsipras is expected to make a statement according to local media.
EUR/GBP challenging key resistance zone
EUR/GBP is up to challenge the mid point of the key 0.71 handle and resistance that was formed on a minor recovery from the lows of the 0.7220 downtrend. This is a third attempt on the recovery since 18th July's uptrend. Failure here will bring back scope for 0.6990 June lows again. Beyond there we have the July low at 0.6937, and this would be the breakdown point to the 0.6541 2007 low.
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