14 Jan 2014
EUR/GBP bounces off lows after UK CPI
FXstreet.com (Córdoba) - The EUR/GBP bounced from lows and erased intraday losses as the pound weakened on the back of softer-than-expected UK inflation figures.
EUR/GBP erases intraday losses on soft CPI
UK CPI rose 2.0% in the twelve months to December, missing expectations of a 2.1% rise, and printing its lowest annual rate in 4 years. The pound came under pressure as soft inflation figures give the BoE room to delay a rate hike. The EUR/GBP jumped from a low of 0.8314 to the 0.8340 area, but lacked momentum to extend its recovery to positive ground for the day. At time of writing, the EUR/GBP is trading around 0.8335, a few pips below its opening price.
EUR/GBP technical levels
In terms of technical levels, the EUR/GBP could find immediate resistances at the 0.8343/47 zone (Jan 14 & 13 highs), followed by 0.8372 (Dec 31 high). On the flip side, supports are seen at 0.8314 (Jan 14 low) and 0.8300 (psychological level).
EUR/GBP erases intraday losses on soft CPI
UK CPI rose 2.0% in the twelve months to December, missing expectations of a 2.1% rise, and printing its lowest annual rate in 4 years. The pound came under pressure as soft inflation figures give the BoE room to delay a rate hike. The EUR/GBP jumped from a low of 0.8314 to the 0.8340 area, but lacked momentum to extend its recovery to positive ground for the day. At time of writing, the EUR/GBP is trading around 0.8335, a few pips below its opening price.
EUR/GBP technical levels
In terms of technical levels, the EUR/GBP could find immediate resistances at the 0.8343/47 zone (Jan 14 & 13 highs), followed by 0.8372 (Dec 31 high). On the flip side, supports are seen at 0.8314 (Jan 14 low) and 0.8300 (psychological level).