EUR/GBP witnessed some heavy selling for the fourth consecutive session on Tuesday. BoE Governor Bailey downplayed negative rate speculations and boosted the pound. Softer USD benefitted the shared currency, which might help limit losses for the cross. A sudden pickup in demand for the British pound dragged the EUR/GBP cross to over one-week lows, around mid-0.8900s during the first half of the European session. The cross extended its recent sharp pullback from the 0.9085 region and remained under some selling pressure for the fourth consecutive session on Tuesday. The downward trajectory accelerated further after the Bank of England (BoE) Governor Andrew Bailey downplayed speculation on negative rates. Bailey said that there are a lot of issues with negative interest rates and no country has used it in ‘retail’ end of the financial market. BoE is doing a lot of work on whether negative rates are practical and outlook for interest rates hinges on productivity growth, Bailey added further. Bailey went on to say that the impact of the latest coronavirus-induced lockdown appears less than that in spring last year and our best guess is that GDP over Q4 was flat to slightly down. The not so dovish comments provided a strong lift to the sterling and exerted pressure on the EUR/GBP cross. On the other hand, the shared currency found some support from a softer tone surrounding the US dollar. This might turn out to be the only factor that might extend some support to the EUR/GBP cross and help limit any further losses amid absent relevant market moving economic releases. Nevertheless, the EUR/GBP cross has now moved well within the striking distance of monthly lows and some follow-through selling should pave the way for additional weakness. The cross might then turn vulnerable and accelerate the slide further towards the 0.8900 round-figure mark. Technical levels to watch FX Street FX Street FXStreet is the leading independent portal dedicated to the Foreign Exchange (Forex) market. It was launched in 2000 and the portal has always been proud of their unyielding commitment to provide objective and unbiased information, to enable their users to take better and more confident decisions. View All Post By FX Street FXStreet News share Read Next EU’s von der Leyen: AstraZeneca has applied to EMA for its coronavirus vaccine authorization FX Street 1 year EUR/GBP witnessed some heavy selling for the fourth consecutive session on Tuesday. BoE Governor Bailey downplayed negative rate speculations and boosted the pound. Softer USD benefitted the shared currency, which might help limit losses for the cross. A sudden pickup in demand for the British pound dragged the EUR/GBP cross to over one-week lows, around mid-0.8900s during the first half of the European session. The cross extended its recent sharp pullback from the 0.9085 region and remained under some selling pressure for the fourth consecutive session on Tuesday. The downward trajectory accelerated further after the Bank of England (BoE) Governor… Regulated Forex Brokers All Brokers Sponsored Brokers Broker Benefits Min Deposit Score Visit Broker 1 $100T&Cs Apply 0% Commission and No stamp DutyRegulated by US,UK & International StockCopy Successfull Traders 9.8 Visit Site FreeBets Reviews$100Your capital is at risk. 2 T&Cs Apply 9.8 Visit Site FreeBets Reviews$100Your capital is at risk. 3 Recommended Broker $100T&Cs Apply No deposit or withdrawal feesTrade major forex pairs such as EUR/USD with leverage up to 30:1 and tight spreads of 0.9 pips Low $100 minimum deposit to open a trading account 9 Visit Site FreeBets ReviewsYour capital is at risk. 4 T&Cs Apply Visit Site FreeBets ReviewsYour capital is at risk. 5 Recommended Broker $0T&Cs Apply Trade gold, silver, and platinum directly against major currenciesUp to 1:500 leverage for forex trading24/5 customer service by phone and email 9 Visit Site FreeBets ReviewsYour capital is at risk.