EUR/GBP: Within 0.90-0.92 Until We Get Clarification On Brexit; Lower Into 0.86 On Deal In November – Danske

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What is the outlook for EUR/GBP in the near-term?

Danske Research expects EUR/GBP to stuck in range near-term and to move lower towards 0.0.86 on a Brexit deal in November.

“We expect EUR/GBP to trade within 0.90-0.92 until we get clarification on Brexit. Our base case remains a simple free trade agreement covering goods and we expect the cross to move lower to around 0.86 when a deal is in sight,” Danske notes.

We have lowered our 3M forecast to 0.86 (previously 0.88), as we expect a deal some time in November. We keep our 6-12M forecast at 0.86,” Danske adds.

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Kenny Fisher - Senior Writer A native of Toronto, Canada, Kenneth worked for seven years in the marketing and trading departments at Bendix, a foreign exchange company in Toronto. Kenneth is also a lawyer, and has extensive experience as an editor and writer.