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13 Mar 2015
EUR/GBP: Capped by descending resistance line
FXStreet (Guatemala) - EUR/GBP is currently trading at 0.7115 with a high of 0.7172 and a low of 0.7103.
EUR is weak, and EUR/GBP has lost ground of over 50 pips in the US session, supported at the lows currently as we head for a close on the week. EUR/USD was making fresh yearly lows on the back of the supply from the ECB's bond buying programme that commenced this week. The cross was maintained behind the descending resistance line and brings the April 2006 highs and recent lows at the psychological 0.7000 mark back into view.
Karen Jones, chief analyst at Commerzbank suggested however that the 13 count on the daily chart would allow for a near term rebound towards the 0.7213 downtrend. "The market will remain directly offered below the 0.7213 accelerated resistance line and will need to overcome this level to alleviate immediate downside pressure."
EUR is weak, and EUR/GBP has lost ground of over 50 pips in the US session, supported at the lows currently as we head for a close on the week. EUR/USD was making fresh yearly lows on the back of the supply from the ECB's bond buying programme that commenced this week. The cross was maintained behind the descending resistance line and brings the April 2006 highs and recent lows at the psychological 0.7000 mark back into view.
Karen Jones, chief analyst at Commerzbank suggested however that the 13 count on the daily chart would allow for a near term rebound towards the 0.7213 downtrend. "The market will remain directly offered below the 0.7213 accelerated resistance line and will need to overcome this level to alleviate immediate downside pressure."