EU GDP Lifts #EURO #EURGBP Cross Rate

CABLE Recovers from early loss

Even before the EU #GDP growth report came out, the EURO's price at 1.1580 have been the critical price level where an expected technical rebound would be met once it had reached that level. A more psychological price support previously defined, plus a well supported growth in Germany's economy have beem the main drivng catalyst that provided the #EURUSD European rally back towards the 1.1747 to this writing. Thus supports the #ECB's tapering plan scheduled for next year to continue its course.

With that said, UK PM Theresa May's political turmoil prompted the Pound Sterling (CABLE) to decline below the 1.3100 levels which has been in the defensive for quite awhile. The beneficiary from these price action which spilled-over into the #EURGBP cross rate, saw prices surged back to 0.8970.

A clear bullish signal that supported prices while making a follow-through from its low at 0.8800. With the USD loosing steam and retreated back down below the 95.00 basis point gave way for the EURUSD to surge a 200 point move along side the EURGBP cross rate. A typical trade strategy that we have been executing for quite sometime. And have shown its effectiveness especially when the USD stalls and a good fundamental report comes along such as today's EU GDP data.