22 Jul 2015
EUR/GBP sell the rallies, targets 0.68 – TDS
FXStreet (Edinburgh) - Strategists at TD Securities see occasional bullish attempts as selling opportunities in the cross.
Key Quotes
“The GBP is stronger, but much of the move came ahead of the minutes release after dovish MPC member David Miles also fell into the camp favouring eventual rate hikes, although his time scale was “over the next few years.”
“Interestingly, EURGBP saw a near-term peak just below the 0.7050 level. This, in our view, satisfies the minimum requirement for the bounce off of Monday’s lows”.
“We cannot rule out another squeeze higher in the very near term, but we think the 0.7070 region should contain any further strength”.
“Looking forward, we expect a move toward 0.68 in coming days as the theme of policy divergence between the UK and Eurozone gains traction”.
Key Quotes
“The GBP is stronger, but much of the move came ahead of the minutes release after dovish MPC member David Miles also fell into the camp favouring eventual rate hikes, although his time scale was “over the next few years.”
“Interestingly, EURGBP saw a near-term peak just below the 0.7050 level. This, in our view, satisfies the minimum requirement for the bounce off of Monday’s lows”.
“We cannot rule out another squeeze higher in the very near term, but we think the 0.7070 region should contain any further strength”.
“Looking forward, we expect a move toward 0.68 in coming days as the theme of policy divergence between the UK and Eurozone gains traction”.