News & Analysis at your fingertips.

We use a range of cookies to give you the best possible browsing experience. By continuing to use this website, you agree to our use of cookies.
You can learn more about our cookie policy here, or by following the link at the bottom of any page on our site. See our updated Privacy Policy here.

0

Notifications

Notifications below are based on filters which can be adjusted via Economic and Webinar Calendar pages.

Live Webinar

Live Webinar Events

0

Economic Calendar

Economic Calendar Events

0
Free Trading Guides
Subscribe
Please try again
EUR/USD
Bullish
Low
High
of clients are net long.
of clients are net short.
Long Short

Note: Low and High figures are for the trading day.

Data provided by
Oil - US Crude
Mixed
Wall Street
Bearish
Gold
Bearish
GBP/USD
Mixed
Low
High
of clients are net long.
of clients are net short.
Long Short

Note: Low and High figures are for the trading day.

Data provided by
USD/JPY
Bullish
More View more
Real Time News
  • Get your snapshot update of the of top level exchanges and key index performance from around the globe here: https://t.co/d8Re5anlG5 https://t.co/BABJdXiced
  • Heads Up:🇬🇧 BoE Cunliffe Speech due at 12:00 GMT (15min) https://www.dailyfx.com/economic-calendar#2021-05-13
  • IG Client Sentiment Update: Our data shows the vast majority of traders in Silver are long at 90.36%, while traders in GBP/JPY are at opposite extremes with 69.94%. See the summary chart below and full details and charts on DailyFX: https://www.dailyfx.com/sentiment https://t.co/KkMtUpOZdy
  • Commodities Update: As of 10:00, these are your best and worst performers based on the London trading schedule: Gold: -0.21% Silver: -0.93% Oil - US Crude: -2.65% View the performance of all markets via https://www.dailyfx.com/forex-rates#commodities https://t.co/eNQowu5LRj
  • Germany 30 IG Client Sentiment: Our data shows traders are now net-long Germany 30 for the first time since May 05, 2021 08:00 GMT when Germany 30 traded near 15,153.80. A contrarian view of crowd sentiment points to Germany 30 weakness. https://www.dailyfx.com/sentiment https://t.co/1T0AOilLMv
  • Forex Update: As of 10:00, these are your best and worst performers based on the London trading schedule: 🇨🇭CHF: 0.08% 🇯🇵JPY: 0.06% 🇨🇦CAD: -0.07% 🇳🇿NZD: -0.26% 🇬🇧GBP: -0.31% 🇦🇺AUD: -0.41% View the performance of all markets via https://www.dailyfx.com/forex-rates#currencies https://t.co/9SsLWtxeZI
  • Forex quotes reflect the price of different currencies at any point in time. Since a trader’s profit or loss is determined by movements in price, it is essential to develop a sound understanding of how to read currency pairs. Learn how to read quotes here: https://t.co/CNtqrKWDBY https://t.co/odJkU3mp5B
  • 🇮🇪 Inflation Rate YoY (APR) Actual: 1.1% Previous: 0% https://www.dailyfx.com/economic-calendar#2021-05-13
  • Indices Update: As of 10:00, these are your best and worst performers based on the London trading schedule: US 500: -0.34% Wall Street: -0.53% France 40: -1.40% Germany 30: -1.62% FTSE 100: -2.02% View the performance of all markets via https://www.dailyfx.com/forex-rates#indices https://t.co/9QFO66TbHM
  • $BTC https://t.co/Ai3O9ITqEu
EUR/GBP Price Continues to Pressure Short-Term Support

EUR/GBP Price Continues to Pressure Short-Term Support

Nick Cawley, Strategist

Sterling (GBP) and Euro (EUR) Price, Chart and Analysis:

  • Eurozone GDP and Inflation slip lower, while German retail sales crater.
  • Sterling continues the post-BOE rally.

EUR/GBP – Unable to Break Resistance, Tests Support

As the UK prepared to finally leave the UK at 23:00GMT today, the Brexit proxy, EUR/GBP, continues to slide lower and eyes levels last seen in mid-December. A comprehensive break and close below here would help to confirm a longer-term bearish outlook.

Euro-Zone data released earlier today showed growth of just 0.1% in Q4, missing both expectations and last quarter’s 0.2%. Core inflation in January also fell to 1.1% from a prior month’s 1.3%, while CPI nudged up 0.1% to 1.4%. In addition, French Q4 GDP slumped to 0.8%, missing expectations of 1.2% and a prior quarter 1.4%, while German retail sales for December cratered to -3.3% against expectations of -0.5% and a prior month’s 1.5%. The recent optimism that the Euro-Zone economy has stabilized looks unfounded on today’s numbers.

The British Pound on the other hand has preformed well in the last 24 hours after the Bank of England decided to leave all monetary policy settings unchanged. Going into the meeting a 0.25% rate cut was priced as a 50/50 call by the market, but MPC members decided a wait-and-see approach was justified. The meeting was also the last one chaired by governor Mark Carney who maybe felt that hiking rates and passing the baton to new governor Andrew Bailey – who starts his term on March 17 – was not the right course of action.

EUR/GBP has fallen heavily since mid-August from a high around 0.9325 to a current level of 0.8415. The sell-off had little respite until mid-December but the chart now suggests that another break lower could see sellers regain the upper hand. The low print at 0.8277 on December 12 is the next downside target and below here would see the pair look at the very low 0.8100s before 0.8000 ‘big figure’ support comes into play.

EUR/GBP Daily Price Chart (August 2019 – January 31, 2020)

EUR/GBP Price Continues to Pressure Short-Term Support

Traders may be interested in two of our trading guides – Traits of Successful Traders and Top Trading Lessons – while technical analysts are likely to be interested in our latest Elliott Wave Guide.

What is your view on Sterling (GBP) and the Euro (EUR) – bullish or bearish?? You can let us know via the form at the end of this piece or you can contact the author via Twitter @nickcawley1.

DailyFX provides forex news and technical analysis on the trends that influence the global currency markets.

DISCLOSURES