The EURGBP bounced towards POC zones after Carney’s comments today that BOE will hike the rates but not anytime soon and when it happens it will have a limited topside. Adding to that he also stated that credit growth is not a debt fuelled boom at this moment which is a positive for GBP.
I still think that EURGBP could be sold on rallies and we need to pay attention to 2 POC zones. The first POC comes in 0.7060-80 zone (E89, H4, 38.2, inner trend line, historical breakout/retest) ad if the price proceeds above then it could reach POC2 in the 0.7100-10 zone (H5, 61.8, inner trend line) A rejection from POC zones should target 0.6980 and ONLY a break of 0.6980 opens the door for 0.6950 and 0.6905. Breakout setup is valid below 0.6980 as we can spot 5 times bottom with L3 weekly cam pivot.
The analysis and the article presents Nenad's opinion. Remember, financial trading is highly speculative & may lead to the loss of your funds. Proper risk management is the Holy Grail of trading.
Recommended Content
Editors’ Picks
EUR/USD holds positive ground above 1.0750 ahead of Eurozone PMI, PPI data
EUR/USD trades in positive territory for the fourth consecutive day near 1.0765 during the early Monday. The softer US Dollar provides some support to the major pair. Traders await the HCOB Purchasing Managers’ Index (PMI) data from Germany and the Eurozone, along with the Eurozone PPI.
GBP/USD rises to near 1.2550 due to dovish sentiment surrounding Fed
GBP/USD continues its winning streak for the fourth consecutive day, trading around 1.2550 during the Asian trading hours on Monday. The appreciation of the pair could be attributed to the recalibrated expectations for the Fed's interest rate cuts in 2024 following the release of lower-than-expected US jobs data.
Gold price rebounds on downbeat NFP data, softer US Dollar
Gold price snaps the two-day losing streak during the Asian session on Monday. The weaker-than-expected US employment reports have boosted the odds of a September rate cut from the US Federal Reserve. This, in turn, has dragged the US Dollar lower and lifted the USD-denominated gold.
Bitcoin Cash could become a Cardano partnerchain as 66% of 11.3K voters say “Aye”
Bitcoin Cash is the current mania in the Cardano ecosystem following a proposal by the network’s executive inviting the public to vote on X, about a possible integration.
Week ahead: BoE and RBA decisions headline a calm week
Bank of England meets on Thursday, unlikely to signal rate cuts. Reserve Bank of Australia could maintain a higher-for-longer stance. Elsewhere, Bank of Japan releases summary of opinions.