Earlier today in the United Kingdom, Retail Sales (YoY) reported a growth +2.7% in August, which was precisely in line with consensus expectations. In addition, Retail Sales (MoM) have shrunk by -0.2% in August, which proved to be lower than projections calling for a steeper decline of -0.4%. Finally, Retail Sales ex-Fuel (MoM and YoY) fell only -0.3% in August (against a consensus of -0.4%) and grew at a rate of +3.1% in August (missing expectations of +3.2%) respectively.
According to Gareth Berry, a Research Analyst at UBS, “the EUG/GBP technicals are still suggesting a bullish trend despite the recent pullback however. This decline is viewed strictly as corrective, as the downside moves appear to be quite limited and constrained.”
The pair’s depression has taken it below virtually every constituent hourly SMA (50, 100, 200), encapsulating the pair's underperformance Thursday. According to the technical analyst team at Mataf.net, after breaking through measured support at 0.8021 and 0.7998, the cross will encounter additional means at 0.7980.