(VIANEWS) – GBP/EUR (GBPEUR) is currently on bearish momentum. At 08:46 EST on Wednesday, 5 October, GBP/EUR (GBPEUR) is at 1.1439, 1.52% down since the last session’s close.

Why is GBP/EUR Currency Pair Going Down?

There are two fundamental factors that determine the price of a currency pair. One is volatility, and the other is price action. The GBP/EUR currency pair has very low volatility. As a result, traders place a lot of importance on the support and resistance levels. Traders must be ready to act on these psychological thresholds, and technical analysis has a very important role to play in trend deduction.

Another factor affecting the GBP/EUR currency pair is interest rate differentials. While the Bank of England is expected to raise interest rates faster than the Federal Reserve, it will raise them more slowly than the Fed. High UK inflation, coupled with the risk of gas shortages, is weighing on the euro. These factors have the potential to lead to a downtrend in the USD/GBP currency pair.

The economic data and the Brexit situation have been weighing heavily on sterling’s performance. The UK government has announced plans to raise interest rates and the European Central Bank has promised to reduce them. If both parties do this, it could impact the EUR/GBP currency pair. However, these are just two of the factors that are driving the pair.

When currency exchanges, the GBP/EUR currency pair is often a prime example. The EUR/GBP exchange rate tells traders how many Euros it takes to buy a British pound. A EUR/GBP chart shows live data on the EUR/GBP exchange rate and provides additional insights about the currency pair.

GBP/EUR (GBPEUR) Range

About GBP/EUR’s daily highs and lows, it’s 3.035% up from its trailing 30 days low of $1.11 and 1.659% down from its trailing 30 days high of $1.16.

GBP/EUR’s yearly highs and lows, it’s 5.789% up from its 52-week low and 6.145% down from its 52-week high.

Volatility

GBP/EUR’s last week, last month’s, and last quarter’s current intraday variation average was a positive 0.52%, a negative 0.06%, and a positive 0.37%, respectively.

GBP/EUR’s highest amplitude of average volatility was 0.71% (last week), 0.47% (last month), and 0.37% (last quarter), respectively.

Forex Price Classification

According to the stochastic oscillator, a useful indicator of overbought and oversold conditions, GBP/EUR’s Forex is considered to be oversold (<=20).

News about EUR/USD

  • According to FXStreet on Monday, 3 October, "The EUR/USD pair was able to post a modest advance and settled around 0.9820, with the shared currency among the worst performers against the USD. "
  • Eur/usd forex signal: recovery set to hit key resistance level – 03 October 2022. According to DailyForex on Monday, 3 October, "The EUR/USD price recovered modestly from its two-decade low in the final part of the week as investors bought the dip. ", "The EUR/USD price pulled back slightly after the substantially hot inflation numbers from Europe. "
  • Eur/usd to affirm a sustainable rebound once above 1.0050/1.0200 – socgen. According to FXStreet on Monday, 3 October, "In case the decline persists below 0.9500, EUR/USD could test next projections at 0.9380 and 0.9200/0.9150."
  • Eur/usd rises to test last week's highs amid a weaker dollar. According to FXStreet on Monday, 3 October, "The EUR/USD found support above 0.9750 and rose during the American session to 0.9844, hitting a fresh daily high. ", "The weaker dollar has been unable so far to boost EUR/USD above the 0.9850 area, a critical short-term resistance area. "

More news about GBP/EUR (GBPEUR).

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