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27 Sep 2013
EUR/GBP en route for 0.8350 support?
FXstreet.com (London) - EUR/GBP has continued to slide through 0.8400 towards 0.8380 and potentially en rout towards 0.8360/50 levels in support.
Jane Foley, Senior Currency Strategist at Rabobank explained the better tone of UK data, the likelihood that the ECB will persist in its dovish tone and the forthcoming EC/Rural Payments Agency payment should keep sterling well supported vs. the euro near-term… “we remain sellers of rallies in EUR/GBP. Support in the 0.8350 area”. Data wise, Harmonised Index of Consumer Prices 1.6% in line with expectations, as was Consumer Price Index (MoM) Sep at 0%. Consumer Price Index (YoY) Sep came in at 1.4% vs 1.5%.
EUR/GBP Levels
The 20 DMA is 0.8428, the 50 DMA is 0.8535 and the 200 DMA is 0.8508. RSI (14) reads 50.05. Supports are ascending from 0.8326, 0.8347/50 and 0.83704. Spot is currently 0.8380, while resistances are 0.8449, 0.8475, 0.8488 and 0.8505.
Jane Foley, Senior Currency Strategist at Rabobank explained the better tone of UK data, the likelihood that the ECB will persist in its dovish tone and the forthcoming EC/Rural Payments Agency payment should keep sterling well supported vs. the euro near-term… “we remain sellers of rallies in EUR/GBP. Support in the 0.8350 area”. Data wise, Harmonised Index of Consumer Prices 1.6% in line with expectations, as was Consumer Price Index (MoM) Sep at 0%. Consumer Price Index (YoY) Sep came in at 1.4% vs 1.5%.
EUR/GBP Levels
The 20 DMA is 0.8428, the 50 DMA is 0.8535 and the 200 DMA is 0.8508. RSI (14) reads 50.05. Supports are ascending from 0.8326, 0.8347/50 and 0.83704. Spot is currently 0.8380, while resistances are 0.8449, 0.8475, 0.8488 and 0.8505.