Will the euro rise against the pound? All eyes are on the direction of the market.

Will the euro rise against the pound? All eyes are on the direction of the market.

25.01.2023

In yesterday’s U.S. currency trading, the EUR/USD fell following the release of strong U.S. January PMI data. The pair dropped by approximately 60 pips from 1.0896 to 1.0835. The decline halted as the 200-period simple moving average (SMA) on the hourly chart provided support.The EUR/USD has rebounded during today’s Asian trading session and has already recouped yesterday’s losses. Since the uptrend along the 10-day moving average continues on the daily chart, we will be watching to see if the upward price movement persists.

European currencies rose, with the euro gaining against the pound following yesterday’s release of the European PMI, which rose for the first time in seven months. The EUR/GBP pair climbed approximately 80 pips from 0.8767 to 0.8846, showing a recovery as it once again moved above the daily 20-day moving average.Technically, with the weekly 20-day MA and 200-day SMA forming a golden cross, we need to carefully assess whether the euro will continue to strengthen against the pound.

Today’s schedule includes the UK Producer Price Index, Turkey’s Economic Sentiment Index, and Turkey’s Capacity Utilization Rate at 16:00 CET; the German IFO Business Climate Index at 18:00 CET; and the US MBA Mortgage Applications Index at 21:00 CET. During US trading hours, the Bank of Canada (BOC) will announce its policy rate and statement at 24:00, followed by US weekly crude oil inventories at 24:30,at 1:00 AM, a press conference by BOC Governor Macklem, and at 3:00 AM, a U.S. 5-year Treasury auction. With the UK PPI release on the horizon, we will carefully assess whether the euro will rise against the pound.

Past Market Reports

1. 21.04.2026New

   Will interest grow in the upside potential of the Swiss franc, which has risen against the yen?

2. 20.04.2026New

   With the euro-Australian dollar pair hitting new lows this month, attention is turning to how much further it might fall

3. 17.04.2026New

   Will the market wait and see how much further the U.S. dollar can rise against the yen?

4. 16.04.2026New

   Will the weakening Swiss franc recover? Attention is turning to price movements during European trading hours.

5. 15.04.2026New

   Market participants are likely keeping a close eye on the upside potential of the euro, which has risen against the U.S. dollar

6. 14.04.2026

   Should we keep an eye on remarks by key figures in the U.S. and try to gauge the direction of currency strength?

7. 13.04.2026

   Market participants are likely watching for signs of a rebound in the Canadian dollar, which fell against the U.S. dollar following the release of employment figures

8. 10.04.2026

   Will the weakening Swiss franc continue to strengthen against the yen, or should we wait and see?

9. 09.04.2026

   Will the U.S. dollar, which has fallen against the yen, continue its downward slide, or should we wait and see how the market moves?

10. 08.04.2026

    Should we keep an eye on the upside for European currencies that have risen against the U.S. dollar?