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3 Apr 2014
EUR/GBP giving way to the bears
FXStreet (Guatemala) - Currently, EUR/GBP is trading at 0.8268, down -0.15% on the day, having posted a daily high at 0.8316 and low at 0.8259.
The ECB delivered a dovish statement earlier in Europe and stuck to their guns by keeping rates on hold at this months ECB meeting. EUR/GBP has bearish feel both technically and fundamentally given that Carney has been rather outspoken of late in respect of the UK economy on track fro a rate rise.
How strong is the pound vs the euro?
EUR/GBP spot is in neutral territory according to the hourly FXStreet OB/OS Index, while the FXStreet Trend Index is slightly bearish. Looking to a daily chart, we see that RSI is neutral at 45.90. The 200 SMA is currently at 0.8283, down from 0.8304 at the last period close, and declining on the hourly EUR/GBP chart.
EUR/GBP targeting 0.8210 and lower?
Karen Jones, chief analyst at Commerzbank explained that EUR/GBP’s rally has terminated as expected circa 0.8305/15 (Elliott wave count on the 240 minute chart). She explained that this leaves the immediate downside bias intact. “We should therefore see a retest of the 61.8% retracement at 0.8250. Below 0.8245/40 will target 0.8210 en route to major support at 0.8160/59”.
EUR/GBP Levels
Current price is 0.8268, with resistance ahead at 0.8270 (Yesterday's Low), 0.8275 (Hourly 20 EMA), 0.8278 (Hourly 100 SMA), 0.8281 (Daily Open) and 0.8287 (Daily Classic PP). Next support to the downside can be found at 0.8264 (Weekly Low), 0.8262 (Daily Classic S1), 0.8259 (Daily Low), 0.8244 (Daily Classic S2) and 0.8219 (Daily Classic S3).
The ECB delivered a dovish statement earlier in Europe and stuck to their guns by keeping rates on hold at this months ECB meeting. EUR/GBP has bearish feel both technically and fundamentally given that Carney has been rather outspoken of late in respect of the UK economy on track fro a rate rise.
How strong is the pound vs the euro?
EUR/GBP spot is in neutral territory according to the hourly FXStreet OB/OS Index, while the FXStreet Trend Index is slightly bearish. Looking to a daily chart, we see that RSI is neutral at 45.90. The 200 SMA is currently at 0.8283, down from 0.8304 at the last period close, and declining on the hourly EUR/GBP chart.
EUR/GBP targeting 0.8210 and lower?
Karen Jones, chief analyst at Commerzbank explained that EUR/GBP’s rally has terminated as expected circa 0.8305/15 (Elliott wave count on the 240 minute chart). She explained that this leaves the immediate downside bias intact. “We should therefore see a retest of the 61.8% retracement at 0.8250. Below 0.8245/40 will target 0.8210 en route to major support at 0.8160/59”.
EUR/GBP Levels
Current price is 0.8268, with resistance ahead at 0.8270 (Yesterday's Low), 0.8275 (Hourly 20 EMA), 0.8278 (Hourly 100 SMA), 0.8281 (Daily Open) and 0.8287 (Daily Classic PP). Next support to the downside can be found at 0.8264 (Weekly Low), 0.8262 (Daily Classic S1), 0.8259 (Daily Low), 0.8244 (Daily Classic S2) and 0.8219 (Daily Classic S3).