EUR/GBP faded the spike to 0.7950

By FXstreet.com | August 29, 2014 AAA

FXStreet (Edinburgh) - The cross quickly climbed to the boundaries of 0.7950 post-EMU CPI on Friday, although the EUR/GBP is now returning to the 0.7940/35 band.



EUR/GBP boosted by data



The EUR reacted positively after headline consumer prices in the euro area printed a fresh cyclical low at 0.3% inter-month in August while Core prices advanced at an annual pace of 0.9% surpassing previous estimates and July’s print. The cross is prolonging its retracement from recent peaks above the psychological 0.8000 handle, allowing the possibility to challenge July lows near 0.7900 the figure.



EUR/GBP levels to watch



The cross is now losing 0.10% at 0.7938 and a break below 0.7915 (low Aug.13) would expose 0.7910 (low Jul.30) and then 0.7907 (low Jul.29). On the upside, the initial hurdle aligns at 0.7967 (high Aug.26) followed by 0.7925 (21-d MA) and finally 0.8004 (high Aug.25).



comments powered by Disqus
Related Forex Analysis
  1. USD/JPY crashes below 106.50, more downside in store
    Forex News

    USD/JPY crashes below 106.50, more downside in store

  2. Trading Video: Is the S&P 500 Rebound, VIX Retreat a Trend or Interlude
    Forex News

    Trading Video: Is the S&P 500 Rebound, VIX Retreat a Trend or Interlude

  3. EUR/USD bulls wake up and drive pair above 1.2800
    Forex News

    EUR/USD bulls wake up and drive pair above 1.2800

  4. Strategy Video: Which is the Better Breakout Candidate - AUDUSD or EURJPY?
    Forex News

    Strategy Video: Which is the Better Breakout Candidate - AUDUSD or EURJPY?

  5. AUD/USD Range Endures With Clearer Cues From Candlesticks Desired
    Forex News

    AUD/USD Range Endures With Clearer Cues From Candlesticks Desired

Trading Center