The Pound-to-Euro is showing short-term bearish and longer-term bullish potential, and in the week ahead fresh data from December in Manufacturing and Services as well as Eurozone Inflation dominate the economic calendar.
Spending by tourists visiting the UK has surged at its fastest rate in seven years, according to recent data from the Office of National Statistics(ONS).
The UK economy grew by a modest 0.4% in the recent quarter, tourist spending surged and the current account deficit narrowed but the 2018 outlook remains uncertain.
Euro-area growth and inflation are too low to support the currency and it this is unlikely to change during the current European Central Bank President's tenure.
The Pound temporarily appreciated on Thursday after the release of survey data showed the Construction sector shifting from contraction to expansion in October.
The Pound-to-Euro is forecast to steadily rise in the week ahead, supported by a tightening of money by the Bank of England (BOE) and political and inflationary risks weighing on the Euro.
Europe's central bankers will meet on Thursday to discuss their strategy for the future - what they say is likely to have a major impact on the single currency.
Sterling has rebounded following a turnaround in increasingly bleak EU talks whilst technical analysts say the charts could be showing support for further upside for the Pound - at least eventually.
Government borrowing appears to be declining overall according to data from the Office of National Statistics (ONS) who released government borrowing data on Friday which showed a fall of about 700 million compared to the same month in the previous year, and below what economists had forecast.
Sterling is weaker after the release of Retail Sales statistics showed a massive decline in September sales, but a leading economist still thinks Bank of England (BOE) will hike rates.
The Euro is set to rise after temporarily trading lower due to political risk factors, say's Crédit Agricole's Head of G10 FX Strategy, Valentin Marinov.