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Forex: EUR/GBP falls to 0.8612/13 after Spanish PMI

The EUR/GBP has recently fallen off its session highs of 0.8634 during European trading, on the heels of Spanish data, the first in a line of such releases today. The pair fell nearly 20-pips in recent moments to cross over into negative territory at 0.8612/13.

The EUR/GBP failed to go back above the ascending channel's key support, however it has held above the key 0.8575 region. Moreover, the stochastic offered a crossover in oversold areas – we will stay neutral today searching for sings of a specific direction, especially as the pair is unable to reside above the EMA 50.” writes the ICN.com Technical Analyst Team.

In Spain, the Markit Services PMI (February) reported a value of 44.7, missing expectations of only 46.0. Later today, the EMU and Germany are slated to reveal its respective PMI figures as well.

At the time of writing, the EUR/GBP is notching a marginal decline of +0.03% Tuesday. ICN.com analysts cite the next resistance levels at the 0.8655 barrier, onto 0.8680, and ultimately 0.8700. Conversely, a prolonged movement into negative territory down to the 0.8600 region will initiate support at 0.8575 ahead of 0.8550.

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