EURGBP Lower
Updated
Trying EURGBP lower here.
We have a double top forming which should act as resistance.
From a narrative perspective i think it might be hard for EUR to push much further higher at the moment, the market i think will struggle to price in more hikes for the ECB currently so i think yields should slow move in GBP's favour.
I am expecting a lower US CPI print this week as well which should help risk sentiment and push EURGBP lower. EUR typically from a seasonal perspective performs poorly in january as well. If recession worries dwindle a little this month we could see GBP benefit more so than EUR.
correlations suggest a little lower, VIX is near the lows and risk sentiment is doing well so far this year. differentials suggest a little lower as well.
Sentiment is moving lower for the pair so i think it is running out of steam.
Not trading/investment advise, feedback welcome!
We have a double top forming which should act as resistance.
From a narrative perspective i think it might be hard for EUR to push much further higher at the moment, the market i think will struggle to price in more hikes for the ECB currently so i think yields should slow move in GBP's favour.
I am expecting a lower US CPI print this week as well which should help risk sentiment and push EURGBP lower. EUR typically from a seasonal perspective performs poorly in january as well. If recession worries dwindle a little this month we could see GBP benefit more so than EUR.
correlations suggest a little lower, VIX is near the lows and risk sentiment is doing well so far this year. differentials suggest a little lower as well.
Sentiment is moving lower for the pair so i think it is running out of steam.
Not trading/investment advise, feedback welcome!
Note
entered again at 0.8865 with 80 pip stop
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