EUR/USD, EUR/GBP and EUR/JPY bid ahead of ECB rate decision
EUR/USD, EUR/GBP and EUR/JPY bid ahead of the ECB’s anticipated 25 basis point rate cut.
EUR/USD finds support
EUR/USD found support slightly below its August 5 high at $1.1009 following Wednesday's US August consumer price index (CPI) release and ahead of today's European Central Bank (ECB) rate decision. Minor resistance above Wednesday's $1.1055 high can be seen around the 22 August low at $1.1098.
A fall through $1.1000 would likely engage the 21 March high at $1.0942. For now we stick to our neutral medium-term forecast.
EUR/GBP range bound
EUR/GBP briefly rallied to £0.8463 before being rejected by the 55-day simple moving average (SMA) at £0.8465. Further sideways trading is thus at hand.
A fall through Wednesday's £0.8423 low would likely engage Friday's low at £0.8412. Below it the June-to-July lows remain to be seen at £0.8398-to-£0.8378. A rise above £0.8465 would be targeting minor resistance at the 19 August low at £0.8509.
EUR/JPY stabilizes
EUR/JPY seems to have at least short-term levelled out above its ¥154.42 early August low and is seen heading back up again towards its 10 September high at ¥158.64.
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