EUR/GBP: Gains through 0.87 may reflect the shift to a new, higher 0.87/0.89 range – Scotiabank

EUR/GBP remains steady slightly above the 0.87 mark. Economists at Scotiabank analyze GBP outlook.

EUR/GBP pressing new range

The soft tone of UK PMI and jobs data this week continue to weigh on broader GBP sentiment.

EUR/GBP gains through 0.87 may reflect the shift to a new, higher 0.87/0.89 range for the cross.

Sterling is softer within its recent, rather sloppy, range. The Pound has found firm support on dips to – and a little through – 1.21 this week. That pattern may extend a little further as trend signals are stuck in neutral on the daily and intraday studies. 

Resistance is 1.2175/1.2180.