FXStreet (Mumbai) – The EUR/GBP pair clocked a low of 0.7121 and continues to hover around the same even though the German and Eurozone PMI figures pointed to a solid expansion in the private sector activity.
EUR suffers Greece-led weakness
The weak tone on the common currency persists as investors, tired of repeated promises from the Eurozone officials, wait for a more convincing development in the ongoing Greece deal saga. Consequently, the EUR failed to respond positively to the upbeat PMI figures across the Eurozone.
The fall seen today is largely due to the Greek issue. However, the weakness may aggravate ahead in case the UK CBI total trends survey orders rise above zero levels as widely expected.
EUR/GBP Technical Levels
The pair currently trades at 0.7125, with immediate support at 0.7123 (June 19 low), under which the pair could drop to 0.7100 levels. On the flip side, a break above 0.7154 (hourly 50-MA) could see the pair re-test 0.7178.
(Market News Provided by FXstreet)