EUR/GBP to challenge the 0.84 level on a large leg lower in equities – ING

The British pound has been holding up surprisingly well – given that it is normally more sensitive to financial developments than others. Analysts at ING highlight the levels to watch in the EUR/GBP pair.

0.8300-0.8400 looks the near-term range for EUR/GBP

“At least the Bank of England has set out its stall in reacting to stagflationary fears and today's surge in European natural gas will again edge the BoE towards hawkish positioning.”

“0.8300-0.8400 looks the near-term range for EUR/GBP, but a large leg lower in equities suggests 0.8400 could come under a lot of pressure.”