 Good evening and welcome to the Church of the Week video with me, David Madden. Today's date is Thursday the 13th of February 2020 and the time has just gone 1815 GMT. And this week's Church of the Week is Euro-sterling. We can see here at the wider-term view, really since August, it's been very much of the downtrend. We've seen a very kind of classic example of lower lows and lower highs throughout August through December. Bit of a rebound to December. It couldn't really get above the zero spot 86 mark through December and January. And it seemed to be turning lower yet again. There's obviously been some big political news here in the UK today. We've got to change up our reshuffle in the Cabinet. There was the shock resignation of the UK Chancellor Sajid Javed. At least he's been replaced by Rishi Sunak. And this has been seen as very positive for the British pound. There are some reports of historic learning and there's some chatter going around that Prime Minister Johnson chose Rishi Sunak for the role. As is felt, that it would be easier for the British Prime Minister to influence the Chancellor of the Exchequer in terms of pro-business policies. It's no secret that Boris Johnson, the Prime Minister of the UK, is really hungry to actually do some sort of spending free, have some sort of aggressive, not stimulus package, but try and introduce pro-business policies to kind of shake off the malaise that's been kind of hanging over the UK economy in recent months, given the uncertainty in relation to the UK's exit from the European Union. So it's viewed as this could be the kind of front-runner for quite a pro-business budget, which is going to be due out next month. So like I said, we've seen starting gains across the board. But I also picked this currency pair not just because of the story surrounding sterling, but also because of the weakness surrounding the euro. So even before we had the political change-up in the UK today, we see consistent weakness in the euro across the board. So for example, yesterday and again today, we've seen declines in the euro versus the US dollar. The euro sterling, sorry, the US dollar versus the euro, euro dollar yesterday and today, fell down to multi-year lows levels last seen in May 2017. The euro has fallen to a multi-month low against the Japanese yen. It's a multi-year low against the Swiss francs. There's a very common theme here between declines across the board in the euro. And if you look at one of the tenets of Dow theory is that the averages must confirm each other. So what that essentially means is that if there's a common thread in the market or a market center, recently a common link are moving in the same direction. In this case, the euro seems to be pushing lower against all the major currencies. It's more likely that that trend is going to continue. Obviously there are no guarantees, but it just makes it more likely. So looking back here on euro sterling, what could we see? We've seen an aggressive move to the downside in the last few days in the euro versus the British pound. We could look to be retesting the early mid-December lows in a zero spot 82.76. And should we go below that, it could take us back down towards this area here, zero spot. Apologies, back down towards 82. And even if we go beyond that, it could take us potentially to this area here. There isn't really much if you go below 82. It could take us to zero spot 81.56. That's the price level to keep an eye on to the downside. Should we see a snapback in euro versus the British pound? This zone here in around zero spot 84, there's actually a bit of support on the way down. It could potentially active resistance to a rebound, but we'd really need to be heading back above this blue line, the 50-day moving average, and also this area here, the early February highs in a zero spot 85.38. And if we do go beyond that, we can potentially look to target this zone, zero spot 86. And for me, if we remain south of zero spot 86, it's likely we could see the wider downward trend on euro starting to continue. Now, if you are going to be trading the euro starting pair tomorrow or any of the euro crosses, it's worth noting that we have a couple of important economic indicators from the euro zone up tomorrow. I'm looking here on a market calendar, which can be found on our trading platform. If you click on news and analysis, third option down, this is it here. Tomorrow morning, these are all UK times. 7 a.m. tomorrow morning, we have the flash estimate of German GDP, and at 10 a.m. UK time, we have the flash estimate of euro zone GDP. These are going to be very important to keep an eye on, depending on how the economic indicators come in. We could see volatility in euro across the board. And well, that's all for me on this particular video. Thank you for listening and have a good trading week.