Pound to Euro Forecast: 1.1509 in Three Months

The Pound to Euro exchange rate last week recorded its largest weekly gain since August and could be entering a new uptrend in a week that will be dominated by the release of Eurozone inflation data.

GBPEUR technical setup has broken down, key support level gives way, exposing sub-1.14.

The British Pound stays under pressure against the Euro as markets bet the UK will see interest rates fall sooner and further than those in the Eurozone in 2024, an assumption that is increasingly at odds with what the Bank of England is telling us.

GBP/EUR remains locked in a multi-week downtrend that must be respected; however, signs of emergent oversold conditions could combine with any positive UK data surprises to help a recovery over the coming days.

The British Pound has risen against the Euro over recent days, but the advice from one leading Swiss bank is to temper any growing enthusiasm for an outright rally.

A solid ending to the previous week eases the likelihood of a significant break lower in the Pound to Euro exchange rate.

GBPEUR retains bearish setup near-term, but also well supported in the low 1.14s.

GBPEUR is destined for lower levels according to new research from a leading Scandinavian bank that envisages a world in which the Eurozone economy outperforms that of the UK.

GBPEUR nursing wounds following another weekly loss, but starting to look oversold says ING.

GBPEUR chart reveals pressures building, retest of 1.15 now back on cards.

The British Pound looks set to reboot its rally against the Euro and Dollar over the coming months according to analysis from Bank of America Merrill Lynch.

GBPEUR is supported as long as above €1.1490, €1.16 a tentative target.

The British Pound can recover against the Euro as Germany's economic growth outlook deteriorates, but further losses against the Dollar can be expected.

The British Pound is tipped to struggle against the Euro over the course of October as a hangover from a rough September extends, but weakness will likely remain limited as the Eurozone and UK economies are unlikely to diverge.

Pound Sterling is set to remain vulnerable against the Euro over the coming days and a test of the solid support zone at 1.15 could well come into play in a week devoid of data and events on the calendar for either the Eurozone or UK.

Strategists at Morgan Stanley say they are 'long' on the Euro to Pound exchange rate (EUR/GBP) and are ultimately looking for the pair to break above its summer range as the Euro outperforms its British peer into year-end.

The currency research and strategy team at Goldman Sachs have slashed their forecasts for the Pound as they announced they have "officially shifted back to Sterling bears".

The British Pound has lost value against all its G10 peers over the past month with losses accelerating in the previous week, but our five-day forecast suggests some of those losses can be unwound.

Despite a month of selling, the British Pound is unlikely to experience significant weakness going forward according to new research from one of Europe's most prominent investment and commercial banking providers.

GBPEUR continues to respect a well-understood range, but the downside boundary is coming back into focus.