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17 Apr 2015
EUR/GBP rebounds again at 0.7170
FXStreet (Córdoba) - The euro erase losses against the pound and is now testing daily highs. EUR/GBP dropped during the European session to 0.7168 after UK employment data but then rebounded erasing losses.
The area around 0.7160/70 offered support once again to the euro, that currently trades at 0.7215, slight below daily highs.
Consolidating but volatility ahead
On a wider perspective the pair remains near April lows, consolidating after the recovery from 0.7010 (7-year low - Mach 11 low) failed to break 0.7400.
“Volatility could extend in the weeks after the UK election dependent on the perceived level of coherence of the new government. That said, monetary policy and specifically estimates regarding the timing of the first interest rate hikes from the Fed and the BoE will remain principal drivers for both GBP/USD and EUR/GBP”, explained analysts from Rabobank.
The area around 0.7160/70 offered support once again to the euro, that currently trades at 0.7215, slight below daily highs.
Consolidating but volatility ahead
On a wider perspective the pair remains near April lows, consolidating after the recovery from 0.7010 (7-year low - Mach 11 low) failed to break 0.7400.
“Volatility could extend in the weeks after the UK election dependent on the perceived level of coherence of the new government. That said, monetary policy and specifically estimates regarding the timing of the first interest rate hikes from the Fed and the BoE will remain principal drivers for both GBP/USD and EUR/GBP”, explained analysts from Rabobank.