EUR/GBP climbs to 5-month highs above 0.89, attention turns to Draghi

  • UK PM candidate Hunt says it's possible to renegotiate Brexit deal.
  • Coming up: ECB President Draghi's speech at 17 GMT.

After closing the previous week with small gains above the 0.89 mark, the EUR/GBP pair pushed higher on Monday and touched its highest level since January at 0.8945. As of writing, the pair was up 0.42% on the day at 0.8941.

Despite the lack of significant fundamental drivers today, the uncertainty surrounding the UK politics seems to be weighing on the cable ahead of the second round of voting for the Conservative Party leadership tomorrow. Earlier today, Jeremy Hunt, one of the candidates to succeed British Prime Minister Theresa May, claimed that it was possible to renegotiate the Brexit deal, dismissing European officials, who made it very clear that the EU wouldn't reopen the Withdrawal Agreement but failed to help the pound sterling find demand.

Later in the session, European Central Bank President Mario Draghi will be delivering a speech. On Tuesday, investors will be paying close attention to the trade balance and inflation data for the eurozone released by the Eurostat. Markets expect the core Consumer Price Index (CPI) to stay unchanged at 0.8% on a yearly basis in May. A deviation from the market consensus could trigger a market reaction. 

Technical levels to watch for


Today last price 0.8941
Today Daily Change 0.0037
Today Daily Change % 0.42
Today daily open 0.8904
Daily SMA20 0.8852
Daily SMA50 0.8723
Daily SMA100 0.8684
Daily SMA200 0.8782
Previous Daily High 0.8918
Previous Daily Low 0.8881
Previous Weekly High 0.8934
Previous Weekly Low 0.8871
Previous Monthly High 0.8876
Previous Monthly Low 0.8489
Daily Fibonacci 38.2% 0.8904
Daily Fibonacci 61.8% 0.8895
Daily Pivot Point S1 0.8884
Daily Pivot Point S2 0.8864
Daily Pivot Point S3 0.8847
Daily Pivot Point R1 0.8922
Daily Pivot Point R2 0.8939
Daily Pivot Point R3 0.8959



Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers.

Feed news

Latest Forex News

Editors’ Picks

EUR/USD hits two-month lows amid USD strength

EUR/USD has pared its gains that followed upbeat preliminary PMIs for Germany came out above expectations, pointing to a recovery. The USD is advancing amid fears of the coronavirus.


GBP/USD drops below 1.31 amid USD strength, fails to sustain PMI gains

GBP/USD is trading below  1.31 after hitting a fresh high of 1.3172. The UK Manufacturing PMI beat with 49.8 and Services PMI with 52.9. The USD is gaining ground across the board.


Cryptos: Bears take over and draw a bloody moon

Despite appearances, Bitcoin is the asset with the best risk/benefit ratio. The current falls are adjusted to the ranges of the previous rise. Downward momentum expires in the first half of February.

Read more

Gold rebounds above $1560

The XAU/USD pair dropped to a daily low of $1556.70 during the European trading hours as the easing worries over coronavirus becoming a global epidemic and a broad-based USD strength put the pair under bearish pressure.

Gold News

USD/JPY drops to two-week lows near 109.30

The USD/JPY pair reversed its direction during the American trading hours as the risk-off atmosphere allowed the JPY to find demand as a safe-haven.