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19 Aug 2013
EUR/GBP eye's 0.8500
FXstreet.com (Barcelona) - EUR/GBP is steady around the 0.8520 support zone in London while there is little on the calendar which is impacting the pair today.
“The Bank of England’s Inflation Report and the introduction of forward guidance has so far satisfied markets that the Bank of England have their house in order, which has allowed investors to pay closer attention to the wave of better than expected economic data. It’s bit of a quieter week for UK data this week but the undoubted highlight will be the second revision of Q2 GDP, although the general consensus is for it to be unrevised at +0.6% quarter on quarter, many believe it could surprise to the upside. Remaining on the economic outlook for now, it was reported in the weekend press that a retail revival across Britain during the sun swept July has given the wider economy a significant boost. We’ve already witnessed the positive effect this had on retail sales last week and it will undoubtedly help Q3 GDP when the first estimate is reported in October”, sad research teams at Investec bank", said research teams, Investec Bank.
EUR/GBP eyes 0.8500 level
Axel Rudolph,Senior Technical Analyst at Commerzbank said EUR/GBP has slipped through the four month support line at 0.8538 and thus nears the 0.8500 level, the 2012-13 uptrend line at 0.8494 and the June low at .8470. Here it should find interim support. "Minor resistance still sits at .8580/83 (July 10 low and 55 day moving average) and further resistance at 0.8597, the May peak. We expect to see a sell-off towards the 200 day moving average at 0.8453 being seen over the coming weeks now that the current August high at 0.8769 has been highlighted as a significant top".
The 20 dma 0.8625, 50 dma 0.8588 and the 200 dma is 0.8452. RSI (9) reads 29.12. Supports are ascending from 0.8464, 0.8491, 0.8505. spot is currently 0.8520 while resistances are 0.8534, 0.8580, 0.8615, 0.8623 and 0.8679.
“The Bank of England’s Inflation Report and the introduction of forward guidance has so far satisfied markets that the Bank of England have their house in order, which has allowed investors to pay closer attention to the wave of better than expected economic data. It’s bit of a quieter week for UK data this week but the undoubted highlight will be the second revision of Q2 GDP, although the general consensus is for it to be unrevised at +0.6% quarter on quarter, many believe it could surprise to the upside. Remaining on the economic outlook for now, it was reported in the weekend press that a retail revival across Britain during the sun swept July has given the wider economy a significant boost. We’ve already witnessed the positive effect this had on retail sales last week and it will undoubtedly help Q3 GDP when the first estimate is reported in October”, sad research teams at Investec bank", said research teams, Investec Bank.
EUR/GBP eyes 0.8500 level
Axel Rudolph,Senior Technical Analyst at Commerzbank said EUR/GBP has slipped through the four month support line at 0.8538 and thus nears the 0.8500 level, the 2012-13 uptrend line at 0.8494 and the June low at .8470. Here it should find interim support. "Minor resistance still sits at .8580/83 (July 10 low and 55 day moving average) and further resistance at 0.8597, the May peak. We expect to see a sell-off towards the 200 day moving average at 0.8453 being seen over the coming weeks now that the current August high at 0.8769 has been highlighted as a significant top".
The 20 dma 0.8625, 50 dma 0.8588 and the 200 dma is 0.8452. RSI (9) reads 29.12. Supports are ascending from 0.8464, 0.8491, 0.8505. spot is currently 0.8520 while resistances are 0.8534, 0.8580, 0.8615, 0.8623 and 0.8679.