Closed in NY at $1.5909 after recovering off a late session pullback low of $1.5888, with the corrective rally continuing into Asia as rate edged on to $1.5930. The move up trailed EUR/USD as this latter rate outpaced, which in turn allowed EUR/GBP to edge up from early Asian lows of stg0.8234 to stg0.8249. Both rates were seen holding firm into early Europe, mainly supported by the buoyant tone in EUR/USD. Offers seen placed from $1.5930 through to $1.5940 ($1.5939 Weds high), a break to open a move on toward $1.5950 with minor offers seen here with stops then dotted above through to $1.5965. Further offers are seen mixed in between $1.5960/65, a break to allow for a move on toward $1.5980. Support seen back at $1.5900, a break to allow for a deeper move toward $1.5888, stops then noted on a break of $1.5880. UK trade data due up at 0830GMT. Main moves to come from risk perception with general bond yields providing the drive. EUR/GBP seen supported by stg0.8235/30, with stronger demand seen into stg0.8220. Resistance stg0.8265 ahead of stg0.8275/80.
EasyForexNews Research Team