EUR/GBP hits fresh highs near 0.7140

FXStreet (Mumbai) - The shared currency reversed losses and switched to the positive territory versus the British pound in the European morning; driving EUR/GBP to fresh session highs, as the cross neglected weaker PMI readings across Euro area including EZ bloc’s as a whole.

EUR/GBP turns positive on data.

Currently, the EUR/GBP cross trades flat at fresh session highs at 0.7139, having previously posted session lows at 0.7117. The cross in EUR/GBP edged higher as markets completely ignored poor PMI reading from Germany and EMU.

The flash manufacturing PMI for the euro zone came in at 51.9 points in April, compared to 52.2 in March. The region's services PMI maintained healthy expansion, with the flash reading booking 53.7 points in April, up/down from 54.2 a month ago

Germany, preliminary figures showed that the manufacturing sector maintained expansion at a somewhat slower pace, with a reading of 51.9, while the services sector also showed a slightly slowing trend, booking 54.4 points in April.

On the other hand, the pound remains in red against the US dollar amid persistent broad greenback strength as markets now focus on UK retail sales for further momentum.

EUR/GBP Levels to consider

To the upside, the next resistance is located at 0.7168 and above which it could extend gains to at 0.7207 (April 22 High) levels. To the downside immediate support might be located at 0.7100 levels below that at 0.7030 (March 12 Low) levels.