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28 Feb 2014
EUR/GBP jumps after Eurozone CPI
FXStreet (Córdoba) - The EUR/GBP rose nearly half a cent in a matter of minutes as the euro strengthened in the wake of better-than-expected Eurozone inflation data.
Amid deflationary fears, the Eurozone consumer price index rose 0.8% in February versus 0.7% expected, cutting prospects of a rate cut before the ECB meeting next week. Meanwhile the unemployment rate remained unchanged at 12%. The EUR/GBP jumped to a high of 0.8252, erasing almost completely its weekly losses. At time of writing, the EUR/GBP is trading around 0.8245, recording a 0.3% Friday.
EUR/GBP levels to watch
In terms of technical levels, next resistances line up at 0.8252 (Feb 28 high) and 0.8285 (Feb 24 high) ahead of 0.8300 (psychological level). On the downside, supports are seen at 0.8189 (Feb 28 low) and 0.8175 (Feb 14 low).
Amid deflationary fears, the Eurozone consumer price index rose 0.8% in February versus 0.7% expected, cutting prospects of a rate cut before the ECB meeting next week. Meanwhile the unemployment rate remained unchanged at 12%. The EUR/GBP jumped to a high of 0.8252, erasing almost completely its weekly losses. At time of writing, the EUR/GBP is trading around 0.8245, recording a 0.3% Friday.
EUR/GBP levels to watch
In terms of technical levels, next resistances line up at 0.8252 (Feb 28 high) and 0.8285 (Feb 24 high) ahead of 0.8300 (psychological level). On the downside, supports are seen at 0.8189 (Feb 28 low) and 0.8175 (Feb 14 low).