The EUR/USD saw a full +1.20% rally for the week, which is a pretty large move in currencies. This is as expected off the back of the positive BREXIT momentum. Some analysts are saying that the U.K. should exit as soon as possible as they could potentially make negotiations worse leading to a more favorable deal for the European Union.
Over the weekend we saw the extension force its way through the U.K. government’s desk against the will of the Prime Minister of the U.K. and his cohorts. The PM did not agree nor sign the extension letter in protest. This week will reveal how positive, negative, or neutral this will affect markets.
Going to the charts, our forecast on the EUR/USD is 80% to 90% complete. We saw the breakout, retest, and continuation headed to our 1.12 target. At his point, we have not changed our forecast as we believe we will see 100% completion of the outlook.
THE PLAY: We are on Hold with the EURUSD as it continues its climb to 1.12.