Eurozone confidence data for January was released this morning and showed an improvement in most categories. The Euro failed to rally as the Eurozone Business Climate Indicator disappointed. German CPI data is predicted to show a spike in deflationary pressures monthly. The EURGBP remains inside of its horizontal resistance area, how will the MPC meeting out of the UK impact price action? Today’s fundamental analysis will take a look at price action in both directions.

Bank of England Governor Carney will host his last MPC meeting today, as the UK is set to leave the EU in roughly 36 hours. No change in the current monetary policy is expected, but forex traders will focus on Carney’s final remarks. Boosting sentiment for the British Pound as a strong reading in the Lloyds Business Barometer. How will the EURGBP react after the press conference following the interest rate announcement? Subscribe to the PaxForex Daily Fundamental Analysis and earn over 5,000 pips per month.