FXStreet (Mumbai) – The post-BOE recovery in the EUR/GBP pair ran out of steam around 0.7237 (50% of 0.7493-0.6981), following which the pair made its way back below the hourly 100-MA at 0.7227.
Sterling recovered post-BOE losses
The Cable fell sharply following the BOE rate decision, which helped the EUR/GBP pair recovery to 0.7237 levels. However, the GBP/USD bounced-off from the key fib support and recovered losses slow and steady. As of now the cable trades at 1.5180.
Meanwhile, the EUR/USD pair was stuck around 1.0960, while the GBP/USD pair recovered losses. Consequently, the EUR/GBP pair fell back below its hourly 100-MA.
EUR/GBP Technical Levels
At 0.7216, the pair could rise to 0.7237 (50% of 0.7493-0.6981), above which the gains could be extended to 0.7261 (daily high), which, if taken out could open doors for 0.7278 (38.2% of 0.6931-0.7493). On the other hand, a break below 0.7212 (50% of 0.6931-0.7493), would expose the confluence of 100-DMA and 200-DMA at 0.7203-0.7198.
(Market News Provided by FXstreet)