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The EUR/GBP pair rose during the previous week to smash into the 0.8150 handle. This is significant because of this area represents a significant amount resistance of the market could overcome in order to go much higher. If this happens, this could be the beginning of a fairly significant move to the 0.85 handle.
The British pound suddenly looks very weak, and there are hints that the Bank of England is going to relent and start more quantitative easing. If that's the case, the British pound would be very overvalued at this point. This of course would make sense as this pair would continue to climb.