EUR/GBP holds above 0.8900 ahead ECB

After falling around 35 pips throughout the European session from intra-day high at 0.8935 to ease all of previous gains and reach 0.8900 as daily low, the EUR/GBP is trading on consolidation mode holding above 0.8900 ahead the European Central Bank interest rate decision.


European Central Bank is expected to hold unchanged its interest rate at 1.0% today's Monetary Policy Committee meeting, Mr. Trichet will hold later at 13:30 GMT for hints about the bank's assessment about quantitative easing measures and how the ECB will begin the exit process.


EUR/GBP capped its recovery from yesterday's low at 0.8893, 1-week low, at 0.8935 during the Asian session with the pair losing gains and reaching intra-day low levels. Currently the pair is trading around 0.8900/10, just below opening price action at 0.8914.


“We still don't have a rally here to signal the very high Wed.” affirms the FXMarketAlerts Team in its latest EUR/GBP report, “volume as l/t buying- this am.'s small rally was capped at Wed's pivot and the EUR therefore remains under some pressure at .8915~.”



“There's still a chance that the EUR dips to .8880 from here.” concludes FXMarketsAlerts, “A strong rally soon is required to keep us bullish for break out upward from the 1 month apex.”