EUR/GBP off highs, back to 0.8430 pre-PMI

The steady performance of the single currency has prompted EUR/GBP to slip back into the negative territory around the 0.8430 region on Monday.

EUR/GBP attention to PMIs

The European cross is coming down from Friday’s multi-day tops in the boundaries of 0.8480 following a sharp pick-up in the risk appetite sentiment along with a continuous sell off in the US dollar, particularly after the poor advanced GDP figures for the second quarter.

Later in the session, July’s final manufacturing PMIs are due in Euroland and the UK in a key week for GBP, will all the attention on Thursday’s BoE MPC meeting and the prospects of a 25 bp rate cut.

EUR/GBP key levels

The cross is now losing 0.17% at 0.8433 facing the initial support at 0.8248 (low Jul.14) ahead of 0.8233 (23.6% Fibo of 0.7595-0.8627) and finally 0.8111 (50% Fibo of 0.7595-0.8627). On the other hand, a surpass of 0.8479 (high Jul.29) would open the door to 0.8627 (2016 high Jul.6) and then 0.8651 (high Aug.28 2013).