24 Jul 2015
EUR/GBP: Bears back in charge on German PMI
FXStreet (Mumbai) - The shared currency gave away gains and fell into the negative zone once again versus the pound in the European morning, driving EUR/GBP to fresh session lows, as disappointing German and French factory gauge hamper the sentiment around the euro.
EUR/GBP drops from 0.7093
Currently, the EUR/GBP pair -0.19% lower at fresh session lows of 0.7066, swiftly dropping from a spike to 0.7093 pre-data release. The cross in EUR/GBP dropped to lows after manufacturing PMI readings from France and Germany saw a slight decline in growth in July.
July's preliminary PMI for Germany's manufacturing sector fell to 51.5, down from June's final reading of 51.9 points. While the flash manufacturing PMI in France came in at 49.6 in July, worse than the final reading of 50.7 seen in June, and below expectations of 50.8.
On the other hand, providing some respite to EUR/GBP, sterling remains pressured across the board as poor UK retail sales continue to dent the GBP. Markets now await EZ PMI data due put shortly for further momentum.
EUR/GBP Technical Levels
To the upside, the next resistance is located at 0.7104 (July 23 High) levels and above which it could extend gains 0.7141 (July 14 High) levels. To the downside immediate support might be located at 0.7000 below that at 0.6987 (July 23 Low).
EUR/GBP drops from 0.7093
Currently, the EUR/GBP pair -0.19% lower at fresh session lows of 0.7066, swiftly dropping from a spike to 0.7093 pre-data release. The cross in EUR/GBP dropped to lows after manufacturing PMI readings from France and Germany saw a slight decline in growth in July.
July's preliminary PMI for Germany's manufacturing sector fell to 51.5, down from June's final reading of 51.9 points. While the flash manufacturing PMI in France came in at 49.6 in July, worse than the final reading of 50.7 seen in June, and below expectations of 50.8.
On the other hand, providing some respite to EUR/GBP, sterling remains pressured across the board as poor UK retail sales continue to dent the GBP. Markets now await EZ PMI data due put shortly for further momentum.
EUR/GBP Technical Levels
To the upside, the next resistance is located at 0.7104 (July 23 High) levels and above which it could extend gains 0.7141 (July 14 High) levels. To the downside immediate support might be located at 0.7000 below that at 0.6987 (July 23 Low).