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28 Aug 2015
EUR/GBP capped below 0.7300, stronger GBP weighs
FXStreet (Mumbai) - The cross in the EUR/GBP keeps losses and trades below 0.7300 levels, mainly driven by broad sterling strength as markets now gear up for the key UK GDP data due later this session.
UK GDP in focus
Currently, the EUR/GBP pair trades 0.14% lower at fresh session lows of 0.7288, facing rejection at 0.73 handle. The EUR/GBP cross extends declines ahead of Europe open as the pound continues to outperform the European currency ahead of the second estimate of the UK GDP report.
The second official GDP estimate is projected to show the UK economy grew at a rate of 0.7% between the first and second quarters. The first estimate showed the primary driver in second-quarter growth was the robust services sector.
While the downside remains cushioned as the EUR/USD pair defends mild gains, correcting a part of yesterday’s losses with the German CPI figures eagerly awaited.
EUR/GBP Technical Levels
To the upside, the next resistance is located at 0.7335 (Aug 27 High) levels and above which it could extend gains 0.7367 (Aug 26 High) levels. To the downside immediate support might be located at 0.7274 (Aug 27 Low) below that at 0.7256 (Aug 26 Low).
UK GDP in focus
Currently, the EUR/GBP pair trades 0.14% lower at fresh session lows of 0.7288, facing rejection at 0.73 handle. The EUR/GBP cross extends declines ahead of Europe open as the pound continues to outperform the European currency ahead of the second estimate of the UK GDP report.
The second official GDP estimate is projected to show the UK economy grew at a rate of 0.7% between the first and second quarters. The first estimate showed the primary driver in second-quarter growth was the robust services sector.
While the downside remains cushioned as the EUR/USD pair defends mild gains, correcting a part of yesterday’s losses with the German CPI figures eagerly awaited.
EUR/GBP Technical Levels
To the upside, the next resistance is located at 0.7335 (Aug 27 High) levels and above which it could extend gains 0.7367 (Aug 26 High) levels. To the downside immediate support might be located at 0.7274 (Aug 27 Low) below that at 0.7256 (Aug 26 Low).