EUR/GBP rise continues after lower-than-expected UK inflation data
Macroeconomic overview: Consumer price inflation in Britain unexpectedly held steady in July at an annual rate of 2.6%. The reading from the Office for National Statistics was slightly lower than anticipated, largely because lower fuel costs helped offset a wide array of price increases. The market consensus was for a modest uptick to 2.7%.
Still, inflation is above the Bank of England's target of 2%, which has stoked speculation in recent months that the central bank may have to raise interest rates at some point. Inflation in Britain has risen sharply over the past year since the country voted to leave the European Union, a decision that prompted a big drop in the value of the pound, which raised the price of imported goods such as oil and food.
The rise in inflation over the past year has hurt living standards as price increases outstrip annual wage rises, which are running at below 2%.
Sterling fell after July inflation data undershot market expectations, dealing another blow to expectations of a rate increase in the coming months.
Technical analysis: The EUR/GBP broke above the 76.4% fibo of October-December 2016 fall at 0.9114 today. The pair is now on the way to full retracement of the above-mentioned move. 
Short-term signal: Our trading idea is to buy on dips. We have placed a bid at 0.9030.
Long-term outlook: Bullish