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8 May 2015
EUR/GBP: Downside open to 0.7157
FXStreet (Guatemala) - EUR/GBP is currently trading at 0.7260 with a high of 0.7388 and a low of 0.7225.
EUR/GBP is consolidating the downside post the elections in the UK and trades with a minor recovery from the lows albeit pushed back below the 0.73 handle for the time being as we enter the final hours of this week's turbulent session.
Next week we will have the Eurogroup meeting and as these negotiations drag on, as analysts at TD Securities explained, "We seem to be heading down a road where it’s becoming increasingly difficult to avoid capital controls, and where Greece will be pushed to the brink before a solution is finally reached."
We also have the BoE Inflation Report on Wednesday 13th May and the analysts at TD Securities explained that any vague talk of BoE rate cuts is likely to be shelved for now, although Governor Carney may still have to refer easing in his letter to the Chancellor, released at the same time, as he is obligated to lay out what kind of measures the BoE still has at its disposable if need be in order to push inflation up to target. Technically, the cross needs to get above 0.7323 otherwise the base of the range at 0.7157 remains under threat.
EUR/GBP is consolidating the downside post the elections in the UK and trades with a minor recovery from the lows albeit pushed back below the 0.73 handle for the time being as we enter the final hours of this week's turbulent session.
Next week we will have the Eurogroup meeting and as these negotiations drag on, as analysts at TD Securities explained, "We seem to be heading down a road where it’s becoming increasingly difficult to avoid capital controls, and where Greece will be pushed to the brink before a solution is finally reached."
We also have the BoE Inflation Report on Wednesday 13th May and the analysts at TD Securities explained that any vague talk of BoE rate cuts is likely to be shelved for now, although Governor Carney may still have to refer easing in his letter to the Chancellor, released at the same time, as he is obligated to lay out what kind of measures the BoE still has at its disposable if need be in order to push inflation up to target. Technically, the cross needs to get above 0.7323 otherwise the base of the range at 0.7157 remains under threat.