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Corrective pullback away from.........>

EURO-STERLING
MNI (London)
EURO-STERLING: Corrective pullback away from Monday's high of Gbp0.8932 extended
to touch the topside of the 1.0% 10-dma envelope at Gbp0.8875 Tuesday but failed
to move back inside. Recovery efforts were capped into Gbp0.8900 before rate
settled around Gbp0.8890 into Tuesday's close. Consolidation continued through
Asia around Gbp0.8890 before early Europe took a quick look above the figure, in
a move seen hunting out stops. Rate touched Gbp0.8901, currently around
Gbp0.8897. Topside of the 1.0% envelope has moved up by time today to Gbp0.8892.
Support remains at Tuesday's low of Gbp0.8875. Resistance Gbp0.8923.
- Little in the way of developments in Brexit matters in Wednesday UK press.
Some focus on a swing for support of UK PM May in the latest YouGov/Times poll,
although this isn't expected to be a GBP mover.
- UK PM May to meet EU's Juncker Wednesday, the EU showing little signs of
budging re: the draft Brexit deal, and Brexiteers seemingly softening their
stance over last 48 hours or so. Talk any triggering of a confidence vote in PM
May could be delayed.
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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