FxWirePro: EUR/GBP advances to 1-week peak, good to buy on dips
The euro surged to a 1-week peak against the British pound as focus returned to Britain's trade talks with the European Union and government plans to boost spending. On Wednesday, a senior EU advisor stated that the bloc…
The euro surged to a 1-week peak against the British pound as focus returned to Britain's trade talks with the European Union and government plans to boost spending.
On Wednesday, a senior EU advisor stated that the bloc will determine Britain's access to its financial markets in the same way it has for Japan and the United States and won't give special treatment.
EUR/GBP is trading 0.1 percent up at 0.8368, having hit a low 0.8281 on Tuesday, its lowest since December 13.
Technical indicators are turning bullish: RSI point north, and Stochs have rolled over from oversold levels.
Immediate resistance is located at 0.8384 (10-DMA), a break above could take it near 0.8400.
On the downside, support is seen at 0.8344, a break below could drag it till 0.8319.
Recommendation: Good to buy on dips around 0.8360, with stop loss of 0.8344 and target price of 0.8400.
