Sasha Singh
0
All posts from Sasha Singh
Sasha Singh in Sasha Singh,

EURGBP : Testing the Key Support at .8133

(EURGBP : 4 Hour Chart)

EURGBP is giving a bearish signal that the pair might continue following a downtrend by breaking the key support at .8133 of the descending triangle within which the pair is currently trading. The pair is facing resistance from a downward sloping resistance trend line since a long which it once tried to breach but then again came back within the previous area. EUR is trading lower against its major counterparts since Draghi said that the central bank may come with new stimulus measures in June to increase the inflation rate in euro area which is far below the target rate level. 

For short term the prospects for Pound remain constructive and for EUR remain week as recent series of data from U.K. shows growth in the economy. However today mixed Inflation Report was not able to provide much support to GBP and weakened the prospects of raising interest rates by BOE.