GBP opened Asia around $1.5510, marked lows at $1.5507 before it trailed EUR/USD overnight push higher, moving up to $1.5565 and leaving EUR/GBP to edge up from stg0.8336 to stg0.8360. GBP was able to play catch up into early Europe, nudging on to $1.5580, while the cross eased off its overnight highs toward overnight lows before edging back to stg0.8345. A pullback to $1.5555/50 met US name demand which allowed rate to recover to $1.5593. Failure to build and move toward $1.5600 saw rate ease to $1.5570, edging back to $1.5587 into release of UK PMI data. The stronger than forecast release spiked rate to $1.5601, but move was met by decent selling which knocked it back to $1.5560. Recovery proved laboured allowing EUR/GBP to track EUR/USD stronger rally, the cross extending its correction off post PMI lows of stg0.83295 to stg0.8368. As the cross eased off highs allowed cable to edge above earlier highs, triggered stops through $1.5610 taking it to $1.5625.
EasyForexNews Research Team