User:AMIT9AMIT

Trade idea background With large moves on the EURUSD and cable since yesterday, EURGBP has seen two-way interests. With the morning selling pressures now having met support in the 0.8455-45 area, however, we ready for the cross to correct higher, should the spot succeed in breaking 0.8463 level in intraday trading. We will only establish long-EURGBP positioning at the break of that level.

Trade management and risk description While the calendar remains very light for the rest of the trading week, higher intra-range volatility in EURGBP with large upside EURUSD and GBPUSD moves make overall trading conditions more challenging for EURGBP. To keep overall risks limited, we make this a half-size order and the trade will be protected with a tight stop loss order.

Trade idea parameters

Entry: Buy half-size order EURGBP stop bid at 0.8463

Stop: Sell EURGBP stop offer at 0.8452

Target: Target 1 is at 0.8473, where we will lock half gains and move the stop to entry. Target 2 is at 0.8488.

Time horizon: Intraday

Short-term EURGBP chart

eurgbp short term Source: Saxo Bank

Long-term EURGBP chart

eurgbp long term Source: Saxo Bank

—Edited by Martin O'Rourke

=
============================================================================== Disclaimer: Non-independent investment research This investment research has not been prepared in accordance with legal requirements designed to promote the independence of investment research. Further it is not subject to any prohibition on dealing ahead of the dissemination of investment research. Saxo Bank, its affiliates or staff, may perform services for, solicit business from, hold long or short positions in, or otherwise be interested in the investments (including derivatives), of any issuer mentioned herein. » Read more