EUR/GBP rallies while GBP/USD, AUD/USD drop as UK borrowing costs hit 2008 highs
EUR/GBP rallies while GBP/USD, AUD/USD drop as UK borrowing costs rise to levels last seen in 2008 with the UK Treasury having to intervene.
EUR/GBP rallies
EUR/GBP's swift advance has the August low at £0.8400 in its sights. This level is expected to be overcome with the October peak at £0.8447 representing the next upside target.
Minor support can now be found around the £0.8375 mid-November high and at the £0.8364 26 November high.
EUR/GBP daily chart
GBP/USD drops to two-year low
GBP/USD slid to an over 2-year low as UK borrowing costs rise to their highest level since 2008 with the Treasury forced to intervene.
The cross is about to hit the 24 October 2023 high at $1.2289 as well as the 29 September 2023 high at $1.2272. This area may provide short-term support. If not, the $1.2200 region would be next in line. Minor resistance now sits at the 2 January low at $1.2353.
GBP/USD daily chart
AUD/USD nears 2 1/4 year low
AUD/USD is nearing last week's two and a quarter year low of $0.6180, with potential to reach the October 2022 low at $0.6171. This trend is expected to continue as long as the September to January downtrend line at $0.6290 limits upward movements. Above this level, Monday's high of $0.6302 and 11 December's low of $0.6337 are the next significant markers.
AUD/USD daily chart
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