EUR/GBP Forecast 19/09: Holds Range After Boe (Video)

(MENAFN- Daily Forex)

• The Euro has risen slightly against the British Pound during early trading on Thursday after the Bank of England has decided to hold still with its interest rates.
• That being said, this is a market that I think is stuck in a range. The bottom of the range is the 0.86 level.
• The top of the range is the 0.8750 level, and that is interesting in so much as we are basically right in the middle of that.

We do have a 50 day EMA at the 0.8642 level that is also rising. So that could offer a little bit of support as well. But ultimately, I think this is a market that is grinding higher, not taking off. Whether or not we can release enough inertia into the market to reach escape velocity from this range remains to be seen.

Top Forex Brokers1 Get Started 74% of retail CFD accounts lose money Short-Term Setups

But right now, I think you're looking for short-term setups that offer back and forth opportunities. That is pretty typical for this pair because it does tend to be a very choppy one as there is a lot of cross border traffic. But also, this is a pair that I watch for triangulation. Triangulation is when you take two currencies and match them up against a third one. In this case, it would be the dollar.

EURUSD Chart by TradingView

So, this chart right here explains why the euro and the British pound are basically doing similarly against the US dollar. They're in a state of stasis at the moment as we are just hanging in the middle of this range. Ultimately, though, if you see a huge move in one of these currencies against the other, generally speaking, it will be doing better against the US dollar than the currency it's beating up on and of course, vice versa. So, while I don't necessarily trade this pair a lot, I do watch this chart quite often. And right now, it tells me that the European currencies are in a good place. There isn't a whole lot of volatility, but if we reach the outer portion of the range, then it might be something that becomes tradable.

Ready to trade our daily forecast and analysis? Here's a list of some of the top forex brokers UK to check out.

MENAFN19092025000131011023ID1110083615