24 Jul 2013
EUR/GBP shuffling sideways after Tuesday’s bounce ahead of Euro-data
FXstreet.com (Barcelona) - The EUR/GBP is consolidating Tuesday’s gains at 0.8598 and biding time until a flurry of Euro Zone data is released Wednesday.
EUR/GBP bounced Tuesday following four solid days of selling; awaiting news
After falling nearly unabated for four trading sessions, the EUR/GBP managed to stabilize and bounce modestly Tuesday and into Wednesday. The decline stopped just above the horizontal line support created by the July 10th low of 0.8574. However, once the bounce attempt stopped on Tuesday at 21:00 GMT at 0.8602, EUR/GBP basically drifted sideways to lower and is currently hovering around 0.8597.
Traders will have a flurry of European data to digest Wednesday including PMI readings out of France, Germany and the Euro Zone as well as retail sales data out of Italy. Any major surprises from this data could push EUR/GBP one direction or another.
Technical outlook for EUR/GBP
Technicians say that while more of a bounce is entirely possible (if not likely), EUR/GBP should make its way down to 0.8513. Shorter-term, all eyes are on 0.8573 – the 7/10 intraday low. First resistance comes in at Tuesday’s high of 0.8574. Above that, several Fibonacci retracement line resistance levels come in between 0.8663 and 0.8661. The key short-term resistance for EURGBP, though, comes in at 0.8710 – the 7/17 intraday high.
EUR/GBP bounced Tuesday following four solid days of selling; awaiting news
After falling nearly unabated for four trading sessions, the EUR/GBP managed to stabilize and bounce modestly Tuesday and into Wednesday. The decline stopped just above the horizontal line support created by the July 10th low of 0.8574. However, once the bounce attempt stopped on Tuesday at 21:00 GMT at 0.8602, EUR/GBP basically drifted sideways to lower and is currently hovering around 0.8597.
Traders will have a flurry of European data to digest Wednesday including PMI readings out of France, Germany and the Euro Zone as well as retail sales data out of Italy. Any major surprises from this data could push EUR/GBP one direction or another.
Technical outlook for EUR/GBP
Technicians say that while more of a bounce is entirely possible (if not likely), EUR/GBP should make its way down to 0.8513. Shorter-term, all eyes are on 0.8573 – the 7/10 intraday low. First resistance comes in at Tuesday’s high of 0.8574. Above that, several Fibonacci retracement line resistance levels come in between 0.8663 and 0.8661. The key short-term resistance for EURGBP, though, comes in at 0.8710 – the 7/17 intraday high.