EUR/GBP short squeeze; an early Xmas gift for bulls?

By FXStreet FXStreet (Guatemala) – EUR/GBP is taking on the stops and rallied onto the 0.74 handle as European bourses dropped and thin markets are allowing for a short squeeze catching the majority of the market out.

EUR/USD broke through the 200 SMA at 1.0921 and met resistance at 1.0980/84 the high while cable is making fresh lows at 1.4825. Sterling could be in for a bad time in the New Year should the expectations of a rate hike from the BoE be unwound on a dovish Central Bank along with the very large account deficit the UK is running and all of the Brexit nerves.

These were a topic discussed FXStreet hosted a special event about what 2016 might hold for the Forex traders. The panelists were Ashraf Laidi, Boris Schlossberg, Adam Button and Valeria Bednarik. Today, we want to share with you the recording of the whole show. Watch now and look out for commentary around the Fed, ECB, BoE and Brexit.

EUR/GBP levels

Technically, Karen Jones, chief analyst at Commerzbank recently explained that major resistance is not encountered until the 2013-2015 downtrend at 0.7450, where she expects to see failure. “We will maintain our longer term bearish view while …read more

Source:: FX Street