EUR crosses/GBP crosses/Trade Ideas

EUR/GBP: Has scope for another 600 pips rise

EUR/USD is trading bullishly and buying any deep dips seems like a very logical play. It’s certainly possible that we could get dips back to 1.3350 but a move to 1.4200 in coming weeks/months is starting to feel inevitable.

Cable on the other hand is trading bearishly and another support level was taken out overnight. It’s still in an overall sideways trend on the weekly chart but certainly has scope for a fall towards 1.5200.

If both of these events were to happen simultaneously, which seems reasonably likely given the current trend, then the EUR/GBP will be trading near .9350. It might well be the ‘trade of the year’ to sell at that level, but it does look like we will get there.

  1. Hy Sean .why eurgbp is too strong now?no dip any retrace is not possible.why British pond is too week?currency war start now?and nzdusd sell any relies or not?

  2. NZDUSD is dangerous play because Chinese interests still buying plenty of Kiwi. The GBP is definitely weak and looks like staying that way. Had brief dip in EUR/GBP but immediately bounced back, which is a very bullish sign

  3. I think the selloff in GBP is overreaction. I don’t see any reason for GBP to be below 1.57. surely UK cannot afford a weak pound since they have lended so much money to other countries.

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