Fundamental Analysis of EUR/GBP for February 8, 2019 888011000 110888 EUR/GBP is currently trading lower after a pullback towards 0.8800 area recently. The slowdown of the eurozone’s growth is anticipated to impact additional EUR gains versus GBP that might lead to certain bearish pressure in the set. Mentioning ECB board member Benoit Coeure, the eurozone’s financial slowdown might be longer and much deeper than expected but it is not clear yet that the currency bloc has gone into an enduring slump. Clearly, the downturn is going to disrupt EUR gains in the medium term. Yesterday the European Commission cut the financial forecast of 2019 to 1.3% from 1.9% in the previous projection which obtained the marketplace belief away from EUR, leading to stronger GBP gains.On the other hand, Bank of England Guv Mark Carney cautioned about particular tensions emerging in the UK economy which is called as”Fog of BREXIT “. This condition is anticipated to trigger short-term volatility in UK financial information and may also affect companies and customer spending. This week the Bank of England decided to maintain the key policy rate unchanged at 0.75%, which assisted the currency to gain specific momentum. EUR has been injured by fresh evidence of an economic downturn, whereas GBP is likewise trading under pressure from the BREXIT unpredictability which suggests particular indecision and correction in the coming days. To summarize, GBP is expected to gain specific momentum over EUR.Now let us take a look at the technical view. The price is presently trading lower under particular impulsive bearish pressure which is anticipated to lead the price towards 0.8600 location in the coming days. The rate is also being held by the dynamic level of 20 EMA as resistance which is expected to cause further bearish momentum. As the price stays below 0.8850 area, the bearish predisposition is expected to continue. SUPPORT: 0.8600, 0.8700-25RESISTANCE: 0.8800-50, 0.90BIAS: BEARISHMOMENTUM: VOLATILE The product has actually been supplied by InstaForex Business-www.instaforex.com

By | February 8, 2019

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