Forex: EUR/GBP plunges below 0.8400, eyes on BoE's King
Forex pairs in this Article »
EUR/GBP
FXstreet.com (Barcelona) - Currency flows since 15:00 GMT are putting bears taking over the market after failure to regain the 0.8400 handle. After a rally to 0.8440 high ahead of the European/London opening, the EURGBP has been progressively easing and has just printed its current daily low, at 0.8365, -0.53% lower on the day.
The UK PSNB data at £15.4bn (mkt £15.2bn) in December, left the YTD tally at £106.5bn, about £7bn worse than one year ago. "So the government continues to struggle with plugging the fiscal hole", wrote analyst Jacqui Douglas. Also, the CBI industrial survey showed disappointing new orders, down from -12 to -20.
The British Pound is being bought ahead of BoE's King speech later at 19:45 GMT. "While it may hold the initial test, dips lower will find nearby support at 0.8344, 0.8295 (the 23.6% and 38.2% retracements of the last leg higher)", wrote Commerzbank analyst Karen Jones. "We are cautious as we note the TD perfection set up on the weekly - this is usually a warning signal that the upmove may be ending", she added.
The UK PSNB data at £15.4bn (mkt £15.2bn) in December, left the YTD tally at £106.5bn, about £7bn worse than one year ago. "So the government continues to struggle with plugging the fiscal hole", wrote analyst Jacqui Douglas. Also, the CBI industrial survey showed disappointing new orders, down from -12 to -20.
The British Pound is being bought ahead of BoE's King speech later at 19:45 GMT. "While it may hold the initial test, dips lower will find nearby support at 0.8344, 0.8295 (the 23.6% and 38.2% retracements of the last leg higher)", wrote Commerzbank analyst Karen Jones. "We are cautious as we note the TD perfection set up on the weekly - this is usually a warning signal that the upmove may be ending", she added.
Free Annual Reports
