EUR vs GBP

EUR/GBP forex trading tips

EUR/GBP is one of the major alternative currency pairings. One of the key influence factors is the EUR/GBP interest rate differentials. This means that the actions of the European Central Bank and Bank of England have a huge influence on the exchange rate of EUR/GBP. Economic data in the EU and UK can also have an outsized impact on the exchange rate.

If you want to trade EUR/GBP there are so important factors to keep in mind:

• Watch the news: Economic indicators such as unemployment rate, GDP predictions and even elections can have a huge impact on the exchange rate.
• Keep an eye on Brexit: Nobody can predict the final outcome of Brexit but it will have a profound impact on both the UK and EU. If the UK is successful then you should expect the price of Euro to decrease significantly.
• Follow the central banks: The interest rate differential is one of the key indicators of the EUR/GBP exchange rate. This means that central banks are key influencers.