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Continued EUR carry unwinds, along....>

EURO-STERLING
MNI (London)
EURO-STERLING: Continued EUR carry unwinds, along with month-end flow, which
often carries over into the new month, acted to drive the cross to a high of
Gbp0.8742 Monday, the rate holding outside of its 2.0% 10-dma envelope and was
challenging the topside of its 3.0% 10-dma envelope. Early Asia kept that
pressure on but rate appeared to run into rally fatigue and drifted back from
its early high of Gbp0.8743 to Gbp0.8706 into Europe. Should rate break below
Gbp0.8700 seen exposing the topside of the 2.0% envelope, which by time has
edged to Gbp0.8655. A break above Gbp0.8750 to open a move toward Gbp0.8800(50%
0.9325-0.8277). 
MNI London Bureau | +44 203-586-2231 | john.webb@marketnews.com
MNI London Bureau | +44 203-586-2231 | john.webb@marketnews.com

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