Get 40% Off
👀 👁 🧿 All eyes on Biogen, up +4,56% after posting earnings. Our AI picked it in March 2024.
Which stocks will surge next?
Unlock AI-picked Stocks

A Hawkish ECB Lifts EUR/GBP

Published 05/11/2022, 03:19 AM
Updated 07/09/2023, 06:31 AM

Markets are slow, with the US Dollar Index trading in a tight range, while US stocks found some support after breaking to new lows yesterday. The reason for a slow down of trading activity is due to important US CPI figures later today, which can be the main driver for the direction going forward as data is important for Fed's policy decisions.

Early today, we heard hawkish ECB comments once again. ECB's Villeroy mentioned that they will start raising rates this summer which prevents traders from shorting the EUR/USD pair today; it's stuck in the range. Instead, some of them can be focused more on the EUR/GBP upside as BOE turned out to be more dovish recently.

From an Elliott wave perspective, we see EUR/GBP changing the direction after five waves down to 0.8200 from where the market rallied out of a downward channel, so bulls are here, possibly for the 0.8660 target in the near term.

EUR/GBP daily chart.

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.