Merrill Lynch predicts the strengthening of the pound against the euro

According to analysts of Merrill Lynch, the euro / pound has overcome important technical levels, in particular, the support formed by a 100-day moving average. However, it is too early to say that the Bears won unqualified victory. Fibonacci correction levels indicate that the pound could face problems if it can not be quickly overcome the level of 1.5074 to the dollar in the pair. According to the OECD, the UK economy this year will decline by 3.7%, while the decline in the euro area will exceed 4.1%. This creates favorable prospects for the strengthening of the pound against the euro