GBP HAS RESUMED ITS ADVANCE AGAINST EUR

BRITISH POUND TO OUTPERFORM THE EURO

For four months the GBP/EUR has been consolidating and finally it has broken out to the upside through the resistance just below 1.4200. In our blog of June 24 we were expecting weakness in the EUR relative to gold but nothing has yet transpired but now we can see weakness in the EUR being displayed against GBP. The GBP/EUR exchange rate has the potential to reach 15.5000 as the advance unfolds and the InvesTRAC forecaster is suggesting that the rise should continue until August 10 before correction.