EUR/GBP keeps rising above 0.9200, to the highest since 2009

A stronger euro pushed EUR/GBP to fresh multi-year highs. The pair continued to rise above 0.9200 and reached 0.9235, for the first time since October 2009. It remains near the highs, holding a bullish tone. 

EUR/GBP rally goes on 

The pair is rising for the sixth time out of the last seven days and accumulates a gain of 250 pips so far in August. Brexit negotiations and a dovish Bank of England continue to weigh on the pound. While the euro is showing resilience amid expectation of an announcement of QE tapering from the European Central Bank.

Today economic data from the Eurozone offered an extra impulse to the euro. “The headline IHS Markit Eurozone PMI posted 55.8 in August, up fractionally from July’s reading of 55.7, according to the preliminary ‘flash’ estimate.” It is the highest in two months. 

Andrew Harker, Associate Director at IHS Markit said: “This is another positive set of numbers for the euro area, which continues to enjoy its best growth spell for a number of years.”

EUR/GBP Technical levels 

To the upside, resistance levels might be located at 0.9235 (daily high), 0.9275 and 0.9300 (Sep 2009 high). On the flip side, support levels could be seen at 0.9195 (European session low), 0.9175 (Aug 22 high) and 0.9155/60 (Aug 23 low).