EUR/GBP hits fresh 2-year highs after Carney comments

EUR/GBP  jumped a hundred pips in a few minutes and rose marginally above Monday’s highs, hitting at 0.8381, the highest level since March 2014. Price remains near the top holding a bullish tone.

The pound dropped sharply across the board, weakened by Mark Carney comments, signaling that the Bank of England is likely to cut interest rates over the summer. It would be the first move in rates since 2009.

EUR/GBP testing 0.8380 - 0.8400

The pair is testing a long-term resistance area located around 0.8370 and 0.8400, a consolidation on top, on a wider perspective could leave room toward resistance in the 0.8700-0.8900 region according to analysts from Lloyds Bank.

While to the downsides, the key support could be seen around 0.8050 -0.8100, as long as the pair remains on top, the bullish bias is likely to prevail.