Fundamental Analysis of EUR/GBP for June 20, 2018 888011000 110888 EUR/GBP as been selling a corrective and volatile stage between 0.87 to 0.8850 location for a couple of months now. On the back of mixed results of current economic reports from the eurozone and the UK, the pair is expected to trade without a clear bias up until a breakout with a daily close occurs in the coming days.Ahead of theUK Official Bank Rate report to be released tomorrow which is expected to be unchanged at 0.50%, GBP is most likely to acquire certain attention from market participants this week. On the other hand, the ECB failed to impress the marketplace by its decision to put the key policy rate on hold till summertime 2019 as specified by ECB President Draghi in his recent speech. Today, the UK CBI Industrial Order Expectation report was published with an increase to 13 from the previous negative figure of -3 which was anticipated to be at 1. The positive result made no impact today on GBP, but stopped the spontaneous bullish pressure in the pair for a while now. Moreover, on the EUR side, today German PPI report was published with a the same value of 0.5% which was expected to reduce to 0.4%. When it comes to the present situation, the pair is expected to trade with greater volatility without guaranteed pressure in the coming days till the UK or the eurozone creates solid fundamentals to create guaranteed pressure and direction in the set. Mixed economic data will only trigger further correction and volatility in the pair. Now let us take a look at the technical view. The price is currently rather indecisive, making a development of spinning top candle light pattern on the day-to-day candle. After impulsive bullish pressure for last three days, particular indecision suggests additional correction and injection of bearish pressure. A breakout above 0.8850 or below 0.87 with an everyday close is anticipated to open guaranteed trend pressure in the set. The material has been provided by InstaForex Business- www.instaforex.com

By | June 20, 2018

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