EUR/GBP hits fresh 4-month highs at 0.8923, more upside on cards.
GBP weakens after UK’s inflation figures failed to meet expectations.
Technical indicators support further gains in the pair. We see scope for test of 61.8% Fib at 0.9044.
Price action has bounced off 200-DMA which is strong support at 0.8818. Break below will negate any bullish bias.
Support levels - 0.89, 0.8863 (5-DMA), 0.8837 (21-EMA), 0.8818 (200-DMA)
Resistance levels - 0.8968 (Mar 7 high), 0.90, 0.9014 (Nov 15 high)
Good to go long on close above 0.89 handle, SL: 0.8860, TP: 0.8965/ 0.90/ 0.9045.
GBP weakens after UK’s inflation figures failed to meet expectations.
Technical indicators support further gains in the pair. We see scope for test of 61.8% Fib at 0.9044.
Price action has bounced off 200-DMA which is strong support at 0.8818. Break below will negate any bullish bias.
Support levels - 0.89, 0.8863 (5-DMA), 0.8837 (21-EMA), 0.8818 (200-DMA)
Resistance levels - 0.8968 (Mar 7 high), 0.90, 0.9014 (Nov 15 high)
Good to go long on close above 0.89 handle, SL: 0.8860, TP: 0.8965/ 0.90/ 0.9045.