#EURGBP @ 0.88192 extends the previous day’s pullback from three-week high. (Pivot Orderbook analysis)

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• EUR/GBP extends the previous day’s pullback from three-week high.
• UK Claimant Count Change improved to 28.2K in March, ILO Unemployment Rate rose to 3.8% in three months to February.
• ECB policymakers’ indecision joins cautious mood ahead of EU/German ZEW data to prod EUR/GBP traders.

The pair currently trades last at 0.88192.

The previous day high was 0.8864 while the previous day low was 0.8821. The daily 38.2% Fib levels comes at 0.8838, expected to provide resistance. Similarly, the daily 61.8% fib level is at 0.8848, expected to provide resistance.

EUR/GBP takes offers to refresh intraday low near 0.8825 after upbeat UK jobs report during early Tuesday. Adding strength to the bearish bias is the latest indecision of the European Central Bank (ECB) policymakers, as well as the cautious mood ahead of the Eurozone and Germany’s ZEW Survey data for April.

UK’s latest Claimant Count Change rose to 28.2K in March, versus -11.8K expected and -11.2K prior, whereas the ILO Unemployment Rate rose to 3.8% during three months to February from 3.7% prior and market forecasts. Further, Average Earnings rose during the three months to February.

Also read: UK ILO Unemployment Rate rises to 3.8% in February vs. 3.7% expected

Given the latest firmer UK data, coupled with the Bank of England (BoE) policymakers’ readiness to keep the rates higher, the EUR/GBP pair bears the burden of the hawkish BoE bias due to the data.

On the other hand, ECB policymakers appear divided between the 25 basis points (bps) and 50 bps move. On Monday, ECB policymaker Martins Kazaks said, “The central bank has the option of 25 basis points (bps) or 50 bps move in May.”

Against this backdrop, S&P 500 Futures remain indecisive even as Wall Street closed with mild gains. That said, the US 10-year and two-year Treasury bond yields snap a three-day uptrend with mild losses around 3.60% and 4.18% by the press time.

Looking forward, EUR/GBP traders should pay attention to the Eurozone and Germany’s sentiment figures from the ZEW Survey for April as market sentiment dwindles ahead of the data and can allow the bloc’s currency to regain upside momentum.

A daily closing beyond a 10-week-old descending resistance line, around 0.8850 at the latest, becomes necessary for the EUR/GBP bulls.

Technical Levels: Supports and Resistances

EURGBP currently trading at 0.883 at the time of writing. Pair opened at 0.8829 and is trading with a change of 0.01% % .

The pair remains strongly bullish on the daily timeframe. It trades above its 20 SMA @ 0.8798, 50 SMA 0.8823, 100 SMA @ 0.8794 and 200 SMA @ 0.8707.

The previous day high was 0.8864 while the previous day low was 0.8821. The daily 38.2% Fib levels comes at 0.8838, expected to provide resistance. Similarly, the daily 61.8% fib level is at 0.8848, expected to provide resistance.

Note the levels of interest below:

• Pivot support is noted at 0.8812, 0.8795, 0.8769
• Pivot resistance is noted at 0.8855, 0.8881, 0.8898

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