EUR/GBP has recently bounced off the resistance level of 0.9270 after climbing higher with a non-volatile bullish trend. EUR has been quite dominant against GBP earlier but currently, GBP seems to gain some grounds. Today EUR German Retail Sales report was published with a negative value at -1.2% from the previous value of 1.3% which was expected to be at -0.5%, French Prelim CPI report was published as expected at 0.5% from the previous value of -0.3%, German Unemployment Change report was published at -5k from the previous figure of -9k which was expected to be at -6k, CPI Flash Estimate report was published with an increase to 1.5% from the previous value of 1.3% which was expected to be at 1.4%, Core CPI Flash Estimate report was published with an unchanged value at 1.2% as expected and EUR Unemployment Rate report was published with unchanged value as expected at 9.1%. On the other hand, today GBP Gfk Consumer Confidence report was published better at -10 from the previous higher deficit figure of -12 which was expected to show greater deficit of -13 and MPC Member Saunder had speech on nation’s interest rates and future monetary policy which resulted to be hawkish in nature and helped in the gains of GBP over EUR today. To sum up, EUR had been quite dominant with the bullish trend which is currently expected to come to an end as GBP has been quite positive with the recent economic reports which are expected to strengthen the gains further in the coming days.
Now let us look at the technical view, the price has recently rejected off the resistance level of 0.9270 which has proved to be one of the most important levels to push the price lower earlier. As of the recent impulsive bearish pressure after the nonvolatile bullish trend in place, it is currently expected to show some sustainable bearish move with a target towards 0.9050 support level in the coming days.
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