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COVID Easing Road Map Provides Further Lift for GBP

GBP
MNI (London)
  • GBP/USD moves through the 4-month bull channel top at $1.4071 as GBP picks up further demand interest following release of PM Johnson's Road-Map to ease COVID lock down.
  • If this move can be sustained and built on exposes a technical target at $1.4096, the 1.618% swing projection based off this morning's pull back from $1.4052 to $1.3981.
  • One possible counter could be EUR/GBP meeting support at its 1.618% projection target at Gbp0.8633 (based on the move from Gbp0.8861 to Gbp0.9230), though if EUR/USD can build on its recovery, and moves up in tandem with GBP/USD, it should aid. Break of Gbp0.8633 leaves the base of the 1.0% 10-dma envelope exposed at Gbp0.8622.
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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