4 Aug 2015
EUR/GBP lined up for a new delivery tack from BoE
FXStreet (Guatemala) - EUR/GBP is currently trading at 0.7018 with a high of 0.745 and a low of 0.7012.
EUR/GBP has stabilised ahead of the 0.7000 level as we approach key events in the UK this week taking the focus for the cross. There are a number of data releases that include Industrial and Manufacturing Production as well as Markit Services PMI. However, the main attention will be with the BoE and the Quarterly Inflation Report.
This is the beginning of a new tack where the August 6th event will not just bring the MPC decision but also the minutes of the policy meeting in addition to the Quarterly Inflation Report. To allow time for the minutes to be written, the policy decision will no longer come at the end of a two-day meeting but after talks that will take place the week before in addition to the Wednesday immediately prior to the decision.
In addition, further interest to the meetings will come as the policy decision will always be accompanied by a communication from the Bank with the likelihood that one or two members will be expressing a preference for an immediate hike.
EUR/GBP: 55 DMA at 0.7131 in bulls sights
Technically, EUR/GBP is in recovery mode of the six-year downtrend lows at 0.6937 with 0.72 coming as a key resistance and psychological level that needs to find closes above to alleviate the downward pressures. Karen Jones, chief analyst at Commerzbank explained that the 55 DMA at 0.7131 is in target for EUR/GBP.
EUR/GBP has stabilised ahead of the 0.7000 level as we approach key events in the UK this week taking the focus for the cross. There are a number of data releases that include Industrial and Manufacturing Production as well as Markit Services PMI. However, the main attention will be with the BoE and the Quarterly Inflation Report.
This is the beginning of a new tack where the August 6th event will not just bring the MPC decision but also the minutes of the policy meeting in addition to the Quarterly Inflation Report. To allow time for the minutes to be written, the policy decision will no longer come at the end of a two-day meeting but after talks that will take place the week before in addition to the Wednesday immediately prior to the decision.
In addition, further interest to the meetings will come as the policy decision will always be accompanied by a communication from the Bank with the likelihood that one or two members will be expressing a preference for an immediate hike.
EUR/GBP: 55 DMA at 0.7131 in bulls sights
Technically, EUR/GBP is in recovery mode of the six-year downtrend lows at 0.6937 with 0.72 coming as a key resistance and psychological level that needs to find closes above to alleviate the downward pressures. Karen Jones, chief analyst at Commerzbank explained that the 55 DMA at 0.7131 is in target for EUR/GBP.