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4 Dec 2014
EUR/GBP testing 0.7900
FXStreet (Edinburgh) - EUR/GBP is quickly appreciating on Thursday following the upbeat tone from the single currency.
EUR/GBP capped by 0.7910
The cross gathered pace after the ECB statement caught markets off guard in today’s meeting, striking a more hawkish tone than expected. The central bank revised lower its forecasts for GDP and inflation for 2015 and 2016 and showed concerns regarding the recent slump in crude oil prices. Draghi also said that the Council discussed the implementation of QE, including government bonds and also other types of assets, although it’s excluded gold. On the GBP side of the equation, the BoE left intact its monetary policy, broadly in line with market expectations.
EUR/GBP relevant levels
At the moment the pair is up 0.73% at 0.7905 with the next resistance 0.7916 (21-d MA) followed by 0.7917 (100-d MA) and finally 0.7919 (high Dec.3). On the flip side, a breakdown of 0.7832 (hourly low Dec.4) would open the door to 0.7799 (low Nov.6) and then 0.7767 (2014 low Sep.30).
EUR/GBP capped by 0.7910
The cross gathered pace after the ECB statement caught markets off guard in today’s meeting, striking a more hawkish tone than expected. The central bank revised lower its forecasts for GDP and inflation for 2015 and 2016 and showed concerns regarding the recent slump in crude oil prices. Draghi also said that the Council discussed the implementation of QE, including government bonds and also other types of assets, although it’s excluded gold. On the GBP side of the equation, the BoE left intact its monetary policy, broadly in line with market expectations.
EUR/GBP relevant levels
At the moment the pair is up 0.73% at 0.7905 with the next resistance 0.7916 (21-d MA) followed by 0.7917 (100-d MA) and finally 0.7919 (high Dec.3). On the flip side, a breakdown of 0.7832 (hourly low Dec.4) would open the door to 0.7799 (low Nov.6) and then 0.7767 (2014 low Sep.30).