EUR/GBP fails to hold above 0.89, looks to close in the red for the third straight day

  • IMF's Lagarde warns over prolonged period of low growth in the euro area.
  • UK's Johnson wins the first ballot.

After closing the last two days in the negative territory, the EUR/GBP pair extended its slide on Thursday and dropped below the 0.89 mark. As of writing, the pair was down 0.12% on a daily basis as 0.8884.

Earlier today, the data published by Destatis showed that inflation in Germany as measured by the Consumer Price Index (CPI) stayed unchanged at 0.2% and 1.4% on a monthly and yearly basis, respectively, to match analysts estimates. Other data today revealed that industrial production in the euro area contracted by 0.5% on a monthly basis in April.

While speaking to reporters at the euro zone finance ministers in Luxembourg, International Monetary Fund (IMF) Chief Christine Lagarde argued that there was a risk of euro zone slipping into a prolonged period of low growth and low inflation.

On the other hand, in the absence of significant macroeconomic data releases from the UK, headlines helped the British pound gather strength on Thursday. Prime minister candidate Boris Johnson today won the first ballot with 114 votes and Jeremy Hunt came in second with 43 votes. Although this development doesn't necessarily mean that it will be easier for the UK to reach a desired Brexit outcome with Johnson as the next PM, the fact that he is leading the race by a wide margin hinted at unity in the Conservative Party to ease political concerns a little.

Technical levels to consider


Today last price 0.8884
Today Daily Change -0.0012
Today Daily Change % -0.13
Today daily open 0.8896
Daily SMA20 0.8837
Daily SMA50 0.871
Daily SMA100 0.8679
Daily SMA200 0.8782
Previous Daily High 0.8918
Previous Daily Low 0.8871
Previous Weekly High 0.8904
Previous Weekly Low 0.8824
Previous Monthly High 0.8876
Previous Monthly Low 0.8489
Daily Fibonacci 38.2% 0.8889
Daily Fibonacci 61.8% 0.89
Daily Pivot Point S1 0.8872
Daily Pivot Point S2 0.8849
Daily Pivot Point S3 0.8826
Daily Pivot Point R1 0.8919
Daily Pivot Point R2 0.8941
Daily Pivot Point R3 0.8965



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.

Feed news

Latest Forex News

Editors’ Picks

EUR/USD bouncing modestly on disappointing US Consumer Confidence

The shared currency remains pressured by the idea that the ECB will come out with massive stimulus measures in September. US Michigan Consumer Confidence down to 92.1 brakes dollar's gains.


GBP/USD retreats sharply after approaching 1.2200

The GBP/USD pair came under selling pressure after flirting with weekly highs, as a dismal US confidence report brought back risk-off. GBP/USD still up for the week and above the critical 1.2100 level.


USD/JPY: Greenback makes modest progress against Yen, near 106.30

The demand for Yen as a safe-haven currency has been weak in the last three days. The levels to beat for bulls are at the 106.30 and 106.55 resistances.


Gold gives back territory towards a 23.6% retracement

Gold prices were a touch lower by the end of the week, falling -0.68% having travelled between a high of $1,528.00 to a low of $1,503.87, ending the NY session around $1,513. 

Gold News

Four Signs of A Bear Market

I am a believer that the Universe gives you signs. That may sound a bit crazy, but these three charts are three more signs of a bear market. The top chart is the GLD exchange traded fund.

Read more