Pound-Euro Exchange Rate Forecast for Move Above 1.20 by Nomura

The Lira hit record lows against the Dollar Thursday while ceding substantial ground to other currencies even after the Central Bank of the Republic of Turkey (CBRT) held its interest rate steady, although there’s no shortage of reasons for why the Turkish currency could make a comeback soon.

The Pound is being tipped by analysts to ultimately ride through a period of uncertainty linked to the delay of the lifting of full lockdown conditions in England, likely to be announced next week.

The Euro appears to be one of the major losers of the U.S. Federal Reserve's shift in stance, particularly against the British Pound.

Speculative investors are increasingly in favour of selling the British Pound according to flow data and analysis from a number of investment banks.

The Pound-to-Euro exchange rate entered the new week above 1.16, a level upon which its grip could solidify over the coming days if an action-packed UK economic calendar can be navigated without upset, although international factors will pose up and downside risks.

The Euro is struggling to find any notable strength ahead of this week's key meeting of the European Central Bank (ECB) which leaves investors cautious as they await the central bank's update on the outlook for monetary policy in the bloc, due on Thursday.