FxWirePro: EUR/GBP extends rangebound trade, focus on German GDP and UK CPI

• EUR/GBP extends narrow trade into the second consecutive day, is holding above 0.86 handle.
   
• A close below 0.76 handle would open doors for 0.8562 (Sep 22 low) and 0.85 (zero figure). 
   
• On the flip side, breach of 100-DMA at 0.8620 could see test of 0.8664 (5-DMA) and then 0.87 level.
   
• Our previous call (http://www.econotimes.com/FxWirePro-EUR-GBP-finds-strong-support-at-08655-good-to-go-short-on-break-below-396986) has hit TP1&2.
   
• Focus remains on a slew of data from the euro area including UK CPI, German and EZ GDP.
   
• German Q3 GDP is expected to show the growth rate slowed to 0.3% q/q, while UK CPI is expected to show the cost of living ticked higher to 1.1% in Oct. 
   

​​Recommendation: Good to go short on decisive break below 0.86, SL: 0.8650, TP: 0.8560/ 0.85
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FxWirePro's Hourly EUR Spot Index was at -58.8725, while Hourly GBP Spot Index was at 83.3285 at 0510 GMT.

For more details on FxWirePro's Currency Strength Index, visit http://www.fxwirepro.com/currencyindex