Opened early Europe at $1.5599 stg0.8280 the rate having settled between $1.5590/1.5646 after marking lows at $1.5580. Despite the pullback GBP enjoyed an underlying buoyant tone, aided by EUR/GBP squeezing down to NY session lows of stg0.8264, with rate managing to hold for the most part above $1.5600 into the NY close. GBP drifted off Asian opening highs of $1.5622, eventually breaking back under $1.5600 ahead of the European open to mark session lows at $1.5594. Early Europe continued the pressure to extend move to $1.5589 before fresh demand emerged into the dip. Rate recovered to $1.5628, lagging EUR/USD stronger correction, with EUR/GBP retesting Asia highs at stg0.8288. EUR/USD reversal overtook GBP, but the cross meeting demand ahead of a barrier at stg0.8250, which helped base this rate at stg0.8259, saw rate break below $1.5580, dropping to an eventual low of $1.5537. Rate was tracking EUR/USD moves late morning but the stg0.8250 barrier seemed to be proving attractive.
EasyForexNews Research Team