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Forex pairs in this Article » EUR/GBP
FXstreet.com (Barcelona) - After the huge declines seen Thursday, EUR/GBP appears headed at least for a test of Thursday’s lows and very possibly to new short-term lows.

EUR/GBP traders have the BOE and ECB announcements to digest in a few hours

The EUR/GBP bulls ran into the perfect storm of dovish ECB comments and hawkish BOE comments when the two central banks made their interest rate decisions and gave their accompanying remarks.

EUR/GBP traders will be reacting to technical factors (see below) as well as to the German and British Trade balance figures during the European session.

Technical outlook for EUR/GBP

Technicians say the EUR/GBP cross is currently likely in a third wave lower with a likely downside target of 0.8281. Before that level is tested, Thursday’s low of 0.8299 will likely bring in some buying interest. First resistance comes in at late Thursday’s upside pivot at 0.8349 and is backed up by additional resistance at Wednesday’s peak at 0.8415.
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