Back
7 Mar 2013
Forex: EUR/GBP rises on London morning
Big day for the EUR/GBP as investors will be dealing with a load of data, but more importantly, with monetary policy decisions from the ECB and the BoE. The cross has been getting stronger since yesterday, with the 0.8600 level proving to be of decent support and the market is currently rising on the London morning.
French imports narrowed from €43.044B to €42.597B in January and exports also eased, from €37.626B to €36.735B, leaving the trade deficit widening from €-5.4B to €-5.9B, instead of narrowing to €-4.8B as expected.
"The bearish engulfing pattern and break of the uptrend suggests further weakness will be seen near term to 0.8566 then .8449/47, the 50% retracement of the move seen this year and the 8th February low", wrote Commerzbank analyst Karen Jones, pointing to intraday resistance at 0.87155, the first of February high.
French imports narrowed from €43.044B to €42.597B in January and exports also eased, from €37.626B to €36.735B, leaving the trade deficit widening from €-5.4B to €-5.9B, instead of narrowing to €-4.8B as expected.
"The bearish engulfing pattern and break of the uptrend suggests further weakness will be seen near term to 0.8566 then .8449/47, the 50% retracement of the move seen this year and the 8th February low", wrote Commerzbank analyst Karen Jones, pointing to intraday resistance at 0.87155, the first of February high.