Long EUR/GBP

Long EUR/GBP 2008.12.02 (+75)

Long EUR/GBP at market (now 0.8535)
Stop at 0.8475
Sell half at 0.8557 move stop on rest to breakevenSell
rest at 0.8615

UK service sector PMI is due for release at 4:30am ET while Eurozone retail sales is due for release at 5:00am ET. Even though we believe that both numbers will be weak, the UK number should be a bigger market mover since German retail sales has already been released. In addition, the Euro has been holding up much better than the British pound as the market expects a larger rate cut from the Bank of England than the European Central Bank on Thursday.