Snapshot: EUR/GBP trades at 0.8634, down 0.05% on the day. The pair is consolidating ahead of Thursday’s Bank of England meeting, where markets expect a cautious hold. Lagarde’s speech at 14:30 CET today is the next potential catalyst.
- EUR/GBP is trading near the middle of its daily range, suggesting indecision. A break above 0.8642 or below 0.8629 is needed for directional conviction.
- Watch for any hints from Lagarde regarding the ECB’s June meeting; a hawkish surprise could spark a squeeze.
Bias into NY: Neutral with a slight upward bias, contingent on the ECB holding its easing bias steady in line with the current trajectory, and no hawkish surprises from Lagarde’s speech. A break above 0.8642 would open a test of 0.8650.