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FXStreet (Edinburgh) - After hitting overnight highs in the area of 0.7230, EUR/GBP sparked a correction lower and is now putting the key support at 0.7200 to the test.
EUR/GBP keeps the weekly range
The cross keeps the tight range during the week so far, looking to consolidate Monday’s drop from peaks near 0.7270. There are no data releases or events in the UK and the euro area today, leaving the cross to the mercy of the risk trends.
Moving to Friday’s docket the main highlights will be the monthly report on the UK labour market and EMU’s final CPI figures for the month of March. Prior surveys expect the Claimant Count to have decreased by 28K during last month.
EUR/GBP levels to consider
At the moment the cross is retreating 0.05% at 0.7194 and a break below 0.7156 (61.8% of 0.7015-0.7385) would expose 0.7154 (low Mar.19) and then 0.7100 (psychological level). On the flip side, the initial hurdle aligns at 0.7270 (high Apr.10) followed by 0.7279 (21-d MA) and finally 0.7281 (10-d MA).