Forex Flash: EUR/GBP strong support at 0.8113 – Rabobank
FXstreet.com (Barcelona) - The pair has quickly left behind the 0.8100 mark, on strong wave of risk appetite fed on market chat regarding the likelihood of a Spanish bailout. Both the single currency and the sterling have subsequently been posting fresh lows in the last sessions against the greenback, ahead of the next EU Summit, due to kick in tomorrow.
Moody's has left unchanged Spain's rating at Baa3, adding to the EUR buying pressure, while better-than-expected employment data in the UK have propped up the up-move in GBP.
Senior Currency Strateggist at Rabobank Jane Foley comments "EURGBP remains reasonably well correlated with EURUSD and this suggests that the tone of the latter will remain a strong influence. The better tone of EURUSD this morning on the back of relief that Moody's has left Spain's credit rating unchanged, on continued hope that Spain will sooner or later request a bail-out and on reports that a broad agreement has been reached between the troika and Greece over its budget suggest that EURGBP is likely to be well supported on dips with the 200 day sma at EURGBP0.8113 likely offering support".
Moody's has left unchanged Spain's rating at Baa3, adding to the EUR buying pressure, while better-than-expected employment data in the UK have propped up the up-move in GBP.
Senior Currency Strateggist at Rabobank Jane Foley comments "EURGBP remains reasonably well correlated with EURUSD and this suggests that the tone of the latter will remain a strong influence. The better tone of EURUSD this morning on the back of relief that Moody's has left Spain's credit rating unchanged, on continued hope that Spain will sooner or later request a bail-out and on reports that a broad agreement has been reached between the troika and Greece over its budget suggest that EURGBP is likely to be well supported on dips with the 200 day sma at EURGBP0.8113 likely offering support".
Free Annual Reports
