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EUR/GBP upside halted ahead of 0.7100

FXStreet (Edinburgh) - The positive momentum in the single currency is mainly propping the current EUR/GBP upside, although it failed to clinch the 0.7100 handle so far.

EUR/GBP boosted by risk

The US dollar is taking a breather on Thursday, as market participants seem to be cashing up recent strong gains. The resultant relief rally in the riskier assets is pushing the cross back to the vicinity of 0.7100 the figure, albeit lacking conviction to break it so far.

Next of relevance in the UK economy will be the trade balance figures, while EMU’s Industrial Production is due across the Channel.

EUR/GBP levels to watch

At the moment the cross is up 0.24% at 0.7082 and a surpass of 0.7179 (high Mar.10) would aim for 0.7214 (10-d MA) and then 0.7220 (high Mar.9). On the other hand, the next support aligns at 0.7022 (monthly high Apr.2006) ahead of 0.7000 (psychological level).

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