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2 Aug 2013
EUR/GBP sliding towards 0.8706 support
FXstreet.com (Barcelona) - EUR/GBP has fallen through 0.8722 support and now eyes 0.8706 due to a strong Construction PMI number from the UK.
EUR/GBP fell from 0.8745 to mark a low of 0.8711. This was just shy of the 2008-2013 resistance line on the release of the number that printed 57.4 vs a consensus of 51.6 and previous 51.0. We will now revert attention back towards key data from the US this afternoon in Non Farm Payrolls until next weeks quarterly inflation report (Wednesday) in which Carney will give his first press conference since taking office in July.
EUR/GBP remains in bullish territory
The pair is still trading in positive territory and is holding above the previously breached 0.8710 2008-2013-resistance-line. This is key and the pair is in range still to target 0.8793/0.8814 highs of this year before the psychological 0.9000 and 2011 highs at 0.9082. The 20 d ma is at 0.8640, 50 d ma 0.8574 and 200 d ma is at 0.8420. RSI (9) reads 72.37 which does indicate overbought, so next levels may be tough up ahead and eyes will be on next weeks BoE inflation report that ay offer fundamental stimuli to break this barrier. Supports are ascending from 0.8606, 0.8622, 0.8645, 0.8675 and Sport is currently 0.8735. Resistances are 0.8770, 0.8793, 0.8814 and 0.8831.
EUR/GBP fell from 0.8745 to mark a low of 0.8711. This was just shy of the 2008-2013 resistance line on the release of the number that printed 57.4 vs a consensus of 51.6 and previous 51.0. We will now revert attention back towards key data from the US this afternoon in Non Farm Payrolls until next weeks quarterly inflation report (Wednesday) in which Carney will give his first press conference since taking office in July.
EUR/GBP remains in bullish territory
The pair is still trading in positive territory and is holding above the previously breached 0.8710 2008-2013-resistance-line. This is key and the pair is in range still to target 0.8793/0.8814 highs of this year before the psychological 0.9000 and 2011 highs at 0.9082. The 20 d ma is at 0.8640, 50 d ma 0.8574 and 200 d ma is at 0.8420. RSI (9) reads 72.37 which does indicate overbought, so next levels may be tough up ahead and eyes will be on next weeks BoE inflation report that ay offer fundamental stimuli to break this barrier. Supports are ascending from 0.8606, 0.8622, 0.8645, 0.8675 and Sport is currently 0.8735. Resistances are 0.8770, 0.8793, 0.8814 and 0.8831.