15 Sep 2015
EUR/GBP back above 200-DMA as European stocks drop
FXStreet (Mumbai) - The bid tone on the EUR recovered somewhat helping the EUR/GBP pair take back part of their losses to trade above the 200-DMA located at 0.7320 levels.
Stocks drop, EUR recovers
The pan-European Stoxx 600 index erased 0.4% gains to trade 0.10% lower on the day after the ZEW think tank’s indicator of economic expectations for September fell to a 10-month low. The weakness in the stocks helped strengthen the bid tone on the EUR.
Meanwhile, the Sterling also erased post CPI gains. Consequently, the EUR/GBP cross recovered from the daily low of 0.7312 to trade around 0.7327 levels.
EUR/GBP Technical Levels
The immediate resistance is seen at 0.7358 (previous session’s high), followed by a major hurdle at 0.74. On the other side, a break below 0.7320 (200-DMA) could see the pair re-test 0.7300 levels.
Stocks drop, EUR recovers
The pan-European Stoxx 600 index erased 0.4% gains to trade 0.10% lower on the day after the ZEW think tank’s indicator of economic expectations for September fell to a 10-month low. The weakness in the stocks helped strengthen the bid tone on the EUR.
Meanwhile, the Sterling also erased post CPI gains. Consequently, the EUR/GBP cross recovered from the daily low of 0.7312 to trade around 0.7327 levels.
EUR/GBP Technical Levels
The immediate resistance is seen at 0.7358 (previous session’s high), followed by a major hurdle at 0.74. On the other side, a break below 0.7320 (200-DMA) could see the pair re-test 0.7300 levels.