EUR/GBP: technical levels
EUR/GBP has been moving sideways during a past couple of weeks, caught between 0.8600 on the upside and 0.8400 on the downside. Yesterday the single currency closed below 55-day MA and the daily Ichimoku Cloud.
Resistance lies at 0.8565 (23.6% Fibo of the advance from July 2012 to February 2013), 0.8610/00 (top of the daily Cloud) and 0.8636 (April high). Analysts at Commerzbank expect euro to lose upside momentum around the latter. The specialists will become bullish on the pair if it overcomes this obstacle. Support is at 0.8460 (100-day MA), 0.8420, 0.8400 (38.3% Fibo) and 0.8378 (200-day MA).
Watch the ECB’s and the Bank of England’s meetings today.
Chart. Daily EUR/GBP