EURGBP Faces Strong Support At 0.90 Mark

EURGBP
EURGBP

EURGBP slides for the second straight day but faces strong support that provides the 50-day moving average and the 0.90 mark. Yesterday the pair breached that support after the Bank of England kept the interest rates unchanged and raised its forecasts for the UK economy. The downward move absorbed and finally, the pair managed to rebound above the 0.90 mark.

Industrial Production Shows Signs of Improvement in Germany, France
The German economy continues to provide some strong data that point to a robust economic recovery. Today, the Germany Industrial Production seasonally adjusted came in at 8.9%, beating the expectations of 8.1% in June. The yearly reading for the Industrial Production jumped to -11.7% in June from previous -19.3%. Germany Exports climbed by 14.9%, topping the forecasts of 13.3%. Germany Imports still lagging as it came in at 7% below the estimates of 10.9%.

The France Nonfarm Payrolls for the second quarter registered in at -0.6% topping the forecasts of -2.2%. The France Industrial Output jumped at 12.7%, beating the expectations of 8.9% in June.

From the United Kingdom, the Halifax House Prices increased to 1.6% in July well above the June reading of -0.1%, while the yearly reading for the Halifax House Prices climbed up to 3.8% in July from 2.5% in June.

EURGBP Daily Technical Analysis   

EURGBP is 0.07% lower at 0.9029, with GBP attempting for a credible break below the 0.90 mark. Bulls look strong at the 50-day moving average, and every time it breaks below the bids are outpacing sellers. 

Bears have to break the support at 0.9015, which guards for today the 0.90 round figure. Next support is at 0.8983 the low from yesterday’s trading session. A break below might challenge the 100-day moving average at 0.8928. 

On the flip side, today’s high at 0.9041 would be the first hurdle. Next resistance stands at 0.9059 the top from August 5. The next supply zone awaits at 0.9080 the high from JULY 30. 

Don’t miss a beat! Follow us on Telegram and Twitter.

EURGBP Price Daily Chart

More content