EUR/GBP Forecast January 20, 2016, Technical Analysis

The EUR/GBP pair initially fell during the course of the day on Tuesday, and then broke higher to a fresh, new high. That being the case, the market looks as if it is going to continue to go higher, perhaps eventually reaching the 0.80 level given enough time. We believe the pullbacks will continue to be buying opportunities, not necessarily because we like the Euro, mainly because we think that the British pound is that soft. The 0.75 level below is essentially the “floor” in this market place, and therefore we have no interest in selling.