Kristoffer Lomholt, Senior Analyst at Danske Bank sees rallies in the Sterling as short lived, while the cross is expected to grind lower towards the 0.84 region in a 6-month horizon. Key Quotes “EUR/GBP has stabilised just below the 0.89 figure after GBP gained on Tuesday on the news that the UK Prime Minister relegated the Brexit Department”. “We expect EUR/GBP to trade slightly lower going into the Bank of England meeting next week where we expect the BoE to hike the Bank Rate by 25bp. However, given that a rate hike is almost fully discounted in the market, we would expect any rally in GBP to prove short-lived”. “Hence, we look for EUR/GBP to remain range bound near term with Brexit uncertainty expected to remain a key source of volatility. Longer term, we still expect EUR/GBP to eventually trade lower driven by Brexit clarifications and fundamental valuations. We target EUR/GBP at 0.8650 in 3M, 0.84 in 6M and 0.83 in 12M”. FX Street FX Street FXStreet is the leading independent portal dedicated to the Foreign Exchange (Forex) market. It was launched in 2000 and the portal has always been proud of their unyielding commitment to provide objective and unbiased information, to enable their users to take better and more confident decisions. View All Post By FX Street FXStreet News share Read Next WTI up smalls above $70.00 FX Street 5 years Kristoffer Lomholt, Senior Analyst at Danske Bank sees rallies in the Sterling as short lived, while the cross is expected to grind lower towards the 0.84 region in a 6-month horizon. Key Quotes "EUR/GBP has stabilised just below the 0.89 figure after GBP gained on Tuesday on the news that the UK Prime Minister relegated the Brexit Department". "We expect EUR/GBP to trade slightly lower going into the Bank of England meeting next week where we expect the BoE to hike the Bank Rate by 25bp. However, given that a rate hike is almost fully discounted in the market, we… Regulated Forex Brokers All Brokers Sponsored Brokers Broker Benefits Min Deposit Score Visit Broker 1 $100T&Cs Apply 0% Commission and No stamp DutyRegulated by US,UK & International StockCopy Successfull Traders 9.8 Visit Site FreeBets Reviews$100Your capital is at risk. 2 T&Cs Apply 9.8 Visit Site FreeBets Reviews$100Your capital is at risk. 3 Recommended Broker $100T&Cs Apply No deposit or withdrawal feesTrade major forex pairs such as EUR/USD with leverage up to 30:1 and tight spreads of 0.9 pips Low $100 minimum deposit to open a trading account 9 Visit Site FreeBets ReviewsYour capital is at risk. 4 T&Cs Apply Visit Site FreeBets ReviewsYour capital is at risk. 5 Recommended Broker $0T&Cs Apply Trade gold, silver, and platinum directly against major currenciesUp to 1:500 leverage for forex trading24/5 customer service by phone and email 9 Visit Site FreeBets ReviewsYour capital is at risk.
