EUR/GBP Having Best Day in Three Weeks
After four days moving with limited price action, EUR/GBP broke to the upside and rallied to 0.7837, reaching the strongest level in a week.
The
pair strengthened during the American session after breaking above
0.7800 and jumped higher. Currently, it trades at 0.7820, up 50 pips
from Thursday’s closing price.
While EUR/USD rallies to levels
above 1.1400, GBP/USD remained limited around 1.4630. The euro is among
the top performs in the currency market on Friday
EUR/GBP: Recovering but still down for the month
The
euro is about to end the week higher against the pound after falling
sharply during the previous two. But on a monthly basis is still lower,
after making a strong retreat from the highest level in almost two
years, that reached back in April above 0.8100.
According to
analysts from Lloyds Bank over the medium term, the trend from the
0.6935 lows set in July 2015 is starting to show signs of reversal. “A
close below 0.7660/0.7590 supports would add further confirmation. A
direct rally back through 0.7950/0.80 would re-open the recent highs
while a move through 0.82 is needed to negate our underlying view for a
move back towards .74/0.73.”
