EUR/GBP slips below 0.7100

FXStreet (Edinburgh) - Both the sterling and the single currency are sidelined ahead of the European open on Monday, taking EUR/GBP to the 0.7090/85 area.

EUR/GBP down from 0.7170

The cross is correcting lower after hitting fresh 4-week tops around 0.7170 last week, in response to an increased buying interest around the euro following the PBoC moves.

Nothing of relevance in the UK docket today, whereas EMU’s trade balance figures during June will be the only publication in Euroland. Later in the week, UK’s key inflation figures will be in the pipeline (Tuesday), with consensus expecting Core consumer prices to have risen at an annual pace of 0.8% during the last month.

EUR/GBP key levels

At the moment the cross is losing 0.22% at 0.7087 with the next support at 0.7072 (low Jul.28) followed by 0.7039 (low Aug.11) and then 0.7027 (low Jul.29). On the flip side, a breakout of 0.7117 (high Aug.11) would open the door to 0.7170 (high Aug.12) and finally 0.7202 (high Jul.13).

EUR/USD retakes 1.1100

The shared currency trimmed losses and recovered from lows against its US counterpart in the early European trades, with EUR/USD heading for a retest of 1.11 handle, the USD bulls loosens grip ahead of Europe open awaiting fresh incentives from the upcoming EZ trade balance data while Greece headlines also remains in focus.
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