Europe Analysis: EUR/USD, GBP/USD, EUR/GBP

EUR/USD 4H Chart

GBP/USD Day Chart

EUR/GBP 4H Chart

Europe Analysis: EUR/USD, GBP/USD, EUR/GBP

Key Support Levels:

• EUR/USD:1.08799

• GBP/USD:1.28306

• EUR/GBP:0.83911

Key Resistance Levels:

• EUR/USD:1.09483

• GBP/USD:1.30914

• EUR/GBP:0.84158

Key News and Analysis:

• EUR/USD Trends and Developments:

• The EUR/USD pair has been experiencing mixed movements recently. Technical analysis shows the pair in a weakened state following a test of significant resistance levels. The overall sentiment has been neutral to slightly bearish as it approaches key support levels. Some analysts expect a potential rebound based on upcoming economic data, while others foresee continued downward pressure due to ongoing market uncertainties.

• GBP/USD Movements:

• GBP/USD has shown resilience with the pound hitting four-month highs due to positive GDP data and hawkish comments from the Bank of England's chief economist. The pair's upward momentum is supported by a relatively strong economic outlook for the UK compared to the US. However, any shift in market sentiment regarding the US dollar could affect this pair's stability.

• EUR/GBP Dynamics:

• EUR/GBP remains volatile, influenced by diverging economic data and central bank policies from the Eurozone and the UK. The euro has been under pressure due to economic concerns within the Eurozone, while the pound has benefited from better-than-expected UK economic performance. Traders are closely watching for any changes in policy stance from the ECB and the BoE, which could impact the pair significantly.

Overall Sentiments and Key Influences:

• EUR/USD: Mixed to bearish sentiment with potential rebounds depending on economic indicators.

• GBP/USD: Bullish due to positive UK economic data and hawkish BoE outlook.

• EUR/GBP: Volatile with a slight bearish bias on the euro and bullish on the pound.



Key Economic Events for EUR/USD, GBP/USD, EUR/GBP on July 18th and 19th (GMT+8)

July 18, 2024 (Thursday)

EUR/USD

• 20:15 EUR - ECB Interest Rate Decision

• Description: The European Central Bank's decision on the benchmark interest rate.

• Impact: A rate hike strengthens EUR, making EUR/USD bullish. A rate cut weakens EUR, making EUR/USD bearish. High volatility expected.

• 20:45 EUR - ECB Press Conference

• Description: ECB President's address on the latest interest rate decision and policy measures.

• Impact: Insights into future monetary policy can cause high volatility in EUR/USD.

GBP/USD

• 20:30 USD - Initial Jobless Claims

• Description: Measures the number of first-time unemployment insurance claims.

• Impact: Higher claims are bearish for USD, potentially strengthening GBP/USD. Lower claims are bullish for USD, potentially weakening GBP/USD.

• 20:30 USD - Philadelphia Fed Manufacturing Index (Jul)

• Description: Measures business conditions in the Philadelphia region.

• Impact: Higher readings indicate strong economic conditions, bearish for GBP/USD. Lower readings indicate weak conditions, bullish for GBP/USD.

EUR/GBP

• 20:15 EUR - ECB Interest Rate Decision

• Description: The European Central Bank's decision on the benchmark interest rate.

• Impact: A rate hike strengthens EUR, making EUR/GBP bullish. A rate cut weakens EUR, making EUR/GBP bearish. High volatility expected.

• 20:45 EUR - ECB Press Conference

• Description: ECB President's address on the latest interest rate decision and policy measures.

• Impact: Insights into future monetary policy can cause high volatility in EUR/GBP.

July 19, 2024 (Friday)

EUR/USD

• 20:30 CAD - Core Retail Sales (MoM) (May)

• Description: Change in retail sales value, excluding automobiles.

• Impact: Strong Canadian retail sales can indirectly affect USD, impacting EUR/USD movements.

• 20:30 CAD - CPI (YoY) (Jun)

• Description: Annual change in consumer prices.

• Impact: Higher Canadian inflation can influence market sentiment, affecting EUR/USD.

• 22:00 USD - US Leading Index (MoM) (Jun)

• Description: Change in a composite index of economic indicators.

• Impact: Higher readings are bullish for USD, bearish for EUR/USD. Lower readings are bearish for USD, bullish for EUR/USD.

GBP/USD

• 20:30 CAD - Core Retail Sales (MoM) (May)

• Description: Change in retail sales value, excluding automobiles.

• Impact: Strong Canadian retail sales can indirectly affect USD, impacting GBP/USD movements.

• 20:30 CAD - CPI (YoY) (Jun)

• Description: Annual change in consumer prices.

• Impact: Higher Canadian inflation can influence market sentiment, affecting GBP/USD.

• 22:00 USD - US Leading Index (MoM) (Jun)

• Description: Change in a composite index of economic indicators.

• Impact: Higher readings are bullish for USD, bearish for GBP/USD. Lower readings are bearish for USD, bullish for GBP/USD.

EUR/GBP

• 20:30 CAD - Core Retail Sales (MoM) (May)

• Description: Change in retail sales value, excluding automobiles.

• Impact: Indirect effects on EUR and GBP due to broader market sentiment.

• 20:30 CAD - CPI (YoY) (Jun)

• Description: Annual change in consumer prices.

• Impact: Indirect effects on EUR and GBP due to broader market sentiment.

• 22:00 USD - US Leading Index (MoM) (Jun)

• Description: Change in a composite index of economic indicators.

• Impact: Higher readings are bullish for USD, which can influence EUR/GBP indirectly.