EUR/GBP to edge back towards the 0.86 area in the weeks ahead – Rabobank

Economists at Rabobank expect the economic headwinds facing Germany to rein in upside potential for the EUR/GBP pair.

Levels above 0.87 seen as selling opportunities 

While a weak UK Q3 GDP report could encourage GBP bears, in view of the headwinds facing the German economy, we see the potential for EUR/GBP to drop back below the 0.87 level in the weeks ahead.

We view levels above 0.87 as selling opportunities and expect EUR/GBP to edge back towards the 0.86 area in the weeks ahead.