FXstreet.com (Córdoba) - Cable is recovering against the Euro after posting a fresh 1-week low during the Asian session. EUR/GBP peaked at 0.9240, the highest price since October 15. From there the pair started to fell and currently trades under 0.9200 at 0.9181/85, 0.23% below today's opening price. The Pound is recovering after Friday's sell off. On the downside, support lies at 0.9140 and below at 0.9070 (Oct 22 high / Oct 20 low).
Regarding the future of the Cable, the Forex.com Research Desk affirms: In the wake of Friday's shockingly poor UK Q3 GDP data (-0.4% q/q) two opposing sterling influences have emerged. The first is a widely held view that based on better PMI survey data there is a good chance that GDP data for Q3 will be revised higher. The second influence is the growing certainty that the BoE will announce a step up in QE at next Thursday's policy meeting. This view was supported this morning by comments from ex-MPC member Blanchflower who is calling for a GBP50 bln extension to QE. The offsetting nature of these views may contain volatility in the approach to the Nov 5 policy meeting