Opened early Europe at $1.5906 stg0.8341 just off its recovery highs of $1.5906 seen as rate was pulled higher by EUR/USD stronger rally as market reacted to reports that a Greek debt deal was close to conclusion. An initial lagging in cable’s upside progress allowed EUR/GBP to push to a high of stg0.8353 in late Europe, with a failure during the NY afternoon to build allowing to cable catch-up. Rate consolidated these gains through the main part of the Asian session, trade restricted to $1.5888/1.5900 before picking up fresh demand ahead of the European open that took rate to an extended high of $1.5919. Rate retained a buoyant tone through the early part of the European morning, with decent supply seen above $1.5920 which helped to cap upside progress to $1.5929. Retail interest faded advances toward the 200-dma at $1.5936/38, with offers noted between $1.5915/35, with residual interest remaining. EUR/GBP spiked to stg0.8363 as a UK clearer executed a fix order at 1100GMT, the move taking cable below $1.5880 to trigger stops.
EasyForexNews Research Team