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Eurgbpforecast

EURGBP Expectations: UK Inflation and BoE's Decision this Week EURGBP Expectations: UK Inflation and BoE's Decision this Week On Monday, the pound reached its highest level against the euro in 10 months, at 85.25 pence, as investors await the British inflation data and the upcoming Bank of England decision. However, the currency pair quickly rebounded to the support level of the previous week, at 85.42 pence, but is perhaps now tracking down again. In recent weeks, the sterling has experienced a rallied against the EUR and USD (particularly against the USD, marking its largest weekly gain since December 2022). This surge can be attributed to economic data suggesting that inflation in Britain is more persistent compared to the United States and Europe. As a result, traders have started factoring in more interest rate hikes from the Bank of England, leading to increased yields on British government bonds and bolstering the pound. Additionally, investors' expectations have been heightened by recent data showing a faster-than-anticipated growth in British wages. Currently, the pound is down 0.26% against the dollar, trading at $1.278. However, it remains close to the 14-month high of $1.285 reached on Friday. British inflation data is scheduled to be released on Wednesday. Economists predict that the headline Consumer Price Index will have slightly cooled to 8.5% year-on-year, down from 8.7% in April. However, they anticipate that the core CPI, which excludes volatile food and energy costs, will remain steady at 6.8%. If these figures align with expectations, the pound could strengthen further due to the anticipation of additional interest rate increases by the Bank of England. Nevertheless, any unexpected results could introduce volatility into the market, and perhaps validate the recent rebound in the EUR. On Thursday, the Bank of England will announce its decision on interest rates, with investors and economists expecting a 25 basis point hike to 4.75%. There is little uncertainty surrounding this decision, so traders will closely examine the bank's forward guidance. Indications of future interest rate hikes are likely to bolster the GBP.
by BlackBull_Markets
Possible Breakdown In EURGBP | EURGBP AnalysisThe current market price of EURGBP is sitting at support area. Considering the previous Daily price action, the price is forming lower highs into the support area which means buyers are not strong enough and sellers are rejecting any jump in price. The current price actions is forming a DESCENDING TRIANGLE, which is a bearish pattern. But it will be activated only when the Daily candle closes below the neckline of triangle, which in this case is the support area of 0.8718-0.869 Once, the daily candle closes below the support range, we can expect price to keep falling till 0.855, unless, the next daily candle closes back above the support resulting in FAKE BREAKDOWN/FALSE BREAKDOWN/BEAR TRAP. HOWEVER, since price is at support, price may bounce. On going to Lower Time Frame of 30 minutes, i see a double bottom pattern which is a reversal pattern. If the pattern breaks out, i expect the price to move up. Falling trendline may act as a resistance, so make sure to book profits before that. CONCLUSION- 1. Price is at support and may bounce. 30 min double bottom has been formed. Breakout of pattern may result in jump in prices 2. If Daily candle closes below the support range of 0.8718-0.869, expect prices to fall till 0.855 Let me know in the comments section if you want me to analyse any other financial instrument. WARNING:- ALWAYS FOLLOW RISK MANAGEMENT AND POSITION SIZING WHILE TAKING ANY TRADE.
by rohitkukreja
EURGBP | Good Sell Opportunity. Get in!When it comes to the technical analysis of EURGBP, you might get an impulse to the downside. Based on my technical analysis , there aren't many supports till the Target 1. So you may use this as a sell opportunity. If the price breaks Target 1, you may keep the position till Target 2. If you are going in, better find a pullback. I have marked a good entry area on the chart; you may use it as an entry area. And also don't forget to place the stop just above the entry area. What do you think is more likely to happen? Please share your thoughts in comment section. And also give a thumbs up if you find this idea helpful. Any feedback & suggestions would help in further improving the analysis. If you find this technical analysis useful, please like & share our ideas with the community. Good Luck! Disclaimer! This post does not provide financial advice. It is for educational purposes only! You can use the information from the post to make your own trading plan for the market. But you must do your own research and use it as the priority. Trading is risky, and it is not suitable for everyone. Only you can be responsible for your trading.
Short
by maxprofwizard