Sterling building up a solid base v Euro prior to going higher

2 apr 2017

sterling looks like it's going to make another challenge of major reistance at 1.2050 against the Euro where it's likely to meet with selling pressure again. But this time it won't come back far before rising back to close above 1.2050 - the trigger for a bout of further Sterling strength up to a new upside target at 1.3150 - 1.3205 - so this call is long, neutral at 1.1995 and long again on a close in London above 1.2050.