The EUR/GBP exchange rate, shaped by dynamic political and economic events among other factors, presents an opportunity for traders to capitalize on news-driven volatility.
Here’s an interactive section for the pair EURGBP and here are the rules:
No profaning or use of foul words, let’s keep the thread sane as possible.
Back your analysis with charts.
Supported stategies: Price Action & traditional indicators based stategies, keeping it simple and though BPs not yet introduced thread control, any violation won’t be considered and treated as special.
No algos
Anything to make the thread more fun and interactive is allowed - talk politics, economy, debate, sports as regards EURGBP
GBP data looks strong while price keeps ranging. Next week should give us a clue where the price is heading…
Eurgbp is definitely one great pair to trade this coming week.
- Where do European country stands in regards to the Israel-Palestine crisis?
- While US & Israel voted against Palestine recognition at the United’s Nation congress, 143 countries voted in favour of the resolution while UK together with most European countries abstained from voting
Right now it’s not about Hamas! Hamas is a militarized movement trying to reconcile the deadlock between their territory and that of Israelis.
Don’t be so quick to forget the English army birthed this crisis during the Ottoman war by forcing the Jews on Palestinians.
If there’s ever a way to admit & reconcile this peacefully is by recognising the Palestine and giving them a seat in the congress to project themselves to the world — this time as conventional.
I agree, a two-state outcome is the only solution. Some people don’t want to see this, they want only one state. They must be brought to see the road to peace.
hmm. that is right and people have different settings to enter a trade but I would right here and put SL over the few candles that form a sideway just before the picture. also tp will be the previous lows.
Except for the last 2 trading days, EUR has remained stronger over the past 50 trading days. Given that there hasn’t been an outflow of money from EUR during the GBP rallies in the last 2 days, it’s likely that traders may use these swings to capture gains.
Investors think the Euro might still outperform the Pounds for some days, if not week.
And to cap that, European indices ended in green last week marking their first ever best week since January.
May 2024, UK’s Labour Market Overview Payrolled employees in the UK fell by 5,000 (0.0%) between February and March 2024, but rose by 288,000 (1.0%) between March 2023 and March 2024. The early estimate of payrolled employees for April 2024 decreased by 85,000 (0.3%) on the month but increased by 129,000 (0.4%) on the year, to 30.2 million. The April 2024 estimate should be treated as a provisional estimate and is likely to be revised when more data are received next month.
My portfolio jumped from ₦1.57m to ₦1.63 due to the naira’s fall, this flunctuation out-turned my unrealised loss yesterday.
The EURGBP now trading at .858 due to strong UK’s data…
As it stands, GBP keeps outperforming the Euro.
Next week should be full of volatility as traders keep an eye on UK’s CPI report accompanied with BOE Bailey’s speech.
ING anticipates EUR/GBP rise as BoE rate cut bets increase (Source: Investing)
Broker ING noted the potential downside risks for the British pound, noting the currency’s recent decline from its peak against the euro. The GBP’s sensitivity to the performance of US equities was highlighted as a contributing factor to its movement.
The firm also observed a decrease in volatility for the EUR/GBP pair as the market anticipates the release of key Consumer Price Index (CPI) figures in the UK scheduled for next week.
ING’s UK economist suggests that there may be a dovish tilt in expectations for the Bank of England’s (BoE) monetary policy. The firm maintains a favorable outlook on the possibility of the EUR/GBP pair rising, as market participants might increase their wagers on a potential interest rate cut by the BoE in June.
The British financial markets were focused on a speech delivered by Catherine Mann of the BoE, who is regarded as the most hawkish member of the Monetary Policy Committee (MPC).
This event followed comments made by Megan Greene, who recently shared a cautiously optimistic perspective on inflation, mirroring sentiments expressed by BoE Governor Andrew Bailey at the last meeting.
ING’s commentary comes as investors and analysts closely watch the central bank’s moves, which could significantly influence currency valuations. The anticipation of UK CPI data and the BoE’s potential response are key factors in the firm’s analysis of the GBP’s trajectory.
EUR/GBP finds support near 0.8550, eyes on UK Inflation data (Source: FXStreet)
ECB policymakers see that inflation is on course to return to the desired rate of 2%. In late Asian session, ECB policymaker Martins Kazaks said, “it’s quite likely June will be when we start to cut rates,” Bloomberg reported. However, he cautioned over aggressively reducing interest rates and advised to follow a gradual approach.
ECB Kazaks cautioned about reducing borrowing rates aggressively as it could revamp price pressures again. While a few policymakers still hope that the ECB has room to cut interest rates in the July meeting too.
On the United Kingdom front, investors shift focus to the Consumer Price Index (CPI) data for April, which will be published on Wednesday. The UK Office for National Statistics (ONS) is expected to show that the annual headline declined to 2.1% from the prior reading of 3.2%. The core CPI that strips off volatile items is estimated to have softened to 3.7% from 4.2% in April.
A sharp decline in the UK inflation data will boost prospects of rate cuts by the BoE, which traders expect that the central bank could start from the June or August meeting. Meanwhile, BoE Deputy Governor Ben Broadbent said in his commentary in Monday’s London session that he sees rate cuts likely in the summer. Broadbent added that rates will be less restrictive at some point.
— Inflation in Britain eased less than expected and a key core measure of prices barely dropped, prompting investors to pull bets on a Bank of England rate cut next month which could have boosted embattled Prime Minister Rishi Sunak before an election. The consumer price index (CPI) rose by 2.3% in the 12 months to April, down sharply from March’s 3.2% increase and its lowest since July 2021, the Office for National Statistics said. (Source: Reuters)
Just announced in UK - General Election date will be 4th July.
This will offer additional immediate strength for the GBP v’s the EUR. After a little while in he election campaign, assuming Labour look increasingly likely to win, expect GBP to weaken and go flat.
