- EUR/GBP pared much of its intraday gains at levels just above 0.8800.
- The ECB raises its reference rates by 50 basis points, although it fails to provide a significant boost.
The pair EUR/GBP it fails to capitalize on its strong intraday gains beyond 0.8800 and is down a few points from the daily high reached in the middle of the European session. The cross moves shortly after the European Central Bank (ECB) announced its policy decision and is currently trading around the 0.8780 area, up less than 0.10% on the day.
At the end of the March monetary policy meeting, the ECB raised its key rates by 50 basis points, raising the main refinancing operations and the interest rates of the marginal credit facility and the deposit facility to 3.5%, 3.75% and 3%, respectively. In the accompanying monetary policy statement, the central bank noted: “the high level of uncertainty reinforces the importance of a data-driven approach to ECB policy rate decisions, which will be determined by its assessment of the outlook.” in light of incoming economic and financial data, core inflation dynamics, and the strength of monetary policy transmission.”
Short of any big surprises, be they mild or hawkish, the decision is not a significant boost to the shared currency or the EUR/GBP cross. Meanwhile, growing acceptance that the Bank of England (BoE) will pause its rate hike cycle next week continues to undermine sterling and helps sterling hold above support at the 100-day SMA.
Technical levels to watch
EUR/GBP
Overview | |
---|---|
Last price today | 0.8782 |
Today I change daily | 0.0008 |
today’s daily variation | 0.09 |
today’s daily opening | 0.8774 |
Trends | |
---|---|
daily SMA20 | 0.8845 |
daily SMA50 | 0.8839 |
daily SMA100 | 0.8769 |
daily SMA200 | 0.8682 |
levels | |
---|---|
previous daily high | 0.8844 |
previous daily low | 0.8718 |
Previous Weekly High | 0.8925 |
previous weekly low | 0.8821 |
Previous Monthly High | 0.8979 |
Previous monthly minimum | 0.8755 |
Fibonacci daily 38.2 | 0.8766 |
Fibonacci 61.8% daily | 0.8796 |
Daily Pivot Point S1 | 0.8713 |
Daily Pivot Point S2 | 0.8653 |
Daily Pivot Point S3 | 0.8588 |
Daily Pivot Point R1 | 0.8839 |
Daily Pivot Point R2 | 0.8904 |
Daily Pivot Point R3 | 0.8964 |
Source: Fx Street
I am Joshua Winder, a senior-level journalist and editor at World Stock Market. I specialize in covering news related to the stock market and economic trends. With more than 8 years of experience in this field, I have become an expert in financial reporting.