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1 Nov 2013
EUR/GBP lower as markets traders call for further easing from ECB
FXstreet.com (Athens) – The EUR/GBP is trading also downwards on Friday – despite the yesterday’s collapse – as investors after the yesterday’s very dismal Euro land data, seem to sit on the fence awaiting for further easing on behalf of ECB the upcoming months.
The EUR/GBP is trading slightly lower today, but taken for granted that on Thursday’s opening trading session was at 0.8561 and now is near 0.8453, the pair lost over 100 pips in one-day time. Ahead of there are holidays in many Euro zone countries, but nevertheless the Euro zone calendar day is very light. The main reason that traders should attribute the tumble of the cross, is that after yesterday’s released data we witnessed that inflation is muted in Euro land and unemployment makes new record high month by month. Thus, analysts sit on the fence awaiting for much more easing from ECB the forthcoming months.
Technical Aspects on the EUR/GBP
Karen Jones Head Technical Analyst of Commerzbank, mentions that the “EUR/GBP has plunged lower, taking out the short term uptrend and completely negating the short term positive bias. The move lower yesterday looked directional and we would allow for further losses near term. The Elliot wave count has altered and is suggesting the market will now struggle on rallies to .8485/.8505. We would allow for losses to 0.8459 then 0.8388.”
The EUR/GBP is trading slightly lower today, but taken for granted that on Thursday’s opening trading session was at 0.8561 and now is near 0.8453, the pair lost over 100 pips in one-day time. Ahead of there are holidays in many Euro zone countries, but nevertheless the Euro zone calendar day is very light. The main reason that traders should attribute the tumble of the cross, is that after yesterday’s released data we witnessed that inflation is muted in Euro land and unemployment makes new record high month by month. Thus, analysts sit on the fence awaiting for much more easing from ECB the forthcoming months.
Technical Aspects on the EUR/GBP
Karen Jones Head Technical Analyst of Commerzbank, mentions that the “EUR/GBP has plunged lower, taking out the short term uptrend and completely negating the short term positive bias. The move lower yesterday looked directional and we would allow for further losses near term. The Elliot wave count has altered and is suggesting the market will now struggle on rallies to .8485/.8505. We would allow for losses to 0.8459 then 0.8388.”