The Eurozone´s currency is still under pressure against all other majors. In particular, the euro reached its lowest point since February 2008 today against the British Pound, well below 0.74. Markets are waiting for Mark Carney´s speech tomorrow, with expectations on a slightly hawkish message. In case the Governor of the BoE says that markets are expecting too far out a rate hike of the BoE, we could expect some further movements on the Pound.
The UK currency could also be close to stop the bearish trend against the US Dollar, which brought prices from 1.71 to 1.50 in the last 7 months. This happened just before the recovery of the last few days, which pushed the pair GBP/USD close to 1.53. The break out of this area could open space for further recovery, with target to the resistance level placed at 1.55 and at 1.5590.
All leveraged products carry a high degree of risk to your capital and are not suitable for all investors.
The thoughts and opinions expressed here are solely those of the writer and do not necessarily reflect the view of ActivTrades Plc. This commentary is for information purposes only and should not be considered as investment advice. The decision to act on any ideas and suggestions presented is at the sole discretion of reader.