Forex Market: EUR/GBP daily trading forecast

Written by Miroslav Marinov

Miroslav Marinov, a financial news editor at TradingPedia, is engaged with observing and reporting on the tendencies in the Foreign Exchange Market, as currently his focus is set on the major currencies of eight developed nations worldwide.

, | Updated: October 30, 2024

Yesterday’s trade saw EUR/GBP within the range of 0.7316-0.7349. The daily low was a fresh more-than-six-year low. The pair closed at 0.7337, ticking up 0.02% on a daily basis.

At 7:16 GMT today EUR/GBP was down 0.05% for the day to trade at 0.7335. The pair touched a daily low at 0.7323 at 6:55 GMT.

Fundamentals

Euro area

ECB President Mario Draghis statement

At 16:30 GMT European Central Bank President Mario Draghi is to take a statement in front of the European parliament in Brussels. Moderate-to-high volatility of the euro crosses is usually present during his speeches.

United Kingdom

Mortgage lending by the BBA

The number of home loans in the United Kingdom, issued by the British Bankers’ Association (BBA), probably increased to 36 000 in January from 35 667 in December. The latter has been the lowest number since April 2013, when 33 000 loans were issued. The BBA features the major banks in the country, which account for almost 60% of overall mortgage lending. The number of mortgage loans is considered as a leading indicator in regard to UK housing market conditions. As growth in mortgage lending signifies a healthy housing sector, which also contributes to overall economic activity, in case the number of loans rose more than projected, this would boost demand for the sterling. The BBA is to publish the official figure at 9:30 GMT.

Pivot Points

According to Binary Tribune’s daily analysis, the central pivot point for the pair is at 0.7334. In case EUR/GBP manages to breach the first resistance level at 0.7352, it will probably continue up to test 0.7367. In case the second key resistance is broken, the pair will probably attempt to advance to 0.7385.

If EUR/GBP manages to breach the first key support at 0.7319, it will probably continue to slide and test 0.7301. With this second key support broken, the movement to the downside will probably continue to 0.7286.

The mid-Pivot levels for today are as follows: M1 – 0.7294, M2 – 0.7310, M3 – 0.7327, M4 – 0.7343, M5 – 0.7360, M6 – 0.7376.

In weekly terms, the central pivot point is at 0.7391. The three key resistance levels are as follows: R1 – 0.7443, R2 – 0.7495, R3 – 0.7547. The three key support levels are: S1 – 0.7339, S2 – 0.7287, S3 – 0.7235.