Instrument: EURGBP
Technical Analysis
Bullish Preference: A buy position is envisaged if the price trades above 0.86024 with take profit at 0.86109
Bearish Preference: A sell position is envisaged if the price trades below 0.85849 with take profit at 0.85743
Fundamentals:
3PM BOE Gov Bailey Speaks
7PM GBP: Claimant Count Change
Comment: The British pound rallied on stellar jobs data (see economic calendar below. All metrics showed improvement which is not a good sign for Bank of England (BoE) doves. Concerns around sticky core inflation from the BoE’s Mann and aggressive monetary policy. However, doubts remain over how much higher the ECB will go with hikes, given euro area inflation fell faster than expected in May and data last week showed that the bloc’s economy fell into recession in the first three months of the year. Due to the news schedled at different times today, the market will be volatile, be on the lookout.
Analysis: SCRUM Team