Some EURGBP selling taking charge

Technical Analysis

Author: Greg Michalowski | eurgbp

The London day working toward the Friday fix and the close

The EURGBP has taken a turn to the downside and tested a support area at 0.85477-0.8551. The 50% of the move down from the Feb 3rd high comes in at 0.85477. The swing area extends to the 0.8551 (see yellow area and blue circles).  

We should expect support against what was resistance up until today (at least going back to Feb 8th).  The caveat is it is Friday. So you have squaring up.   The EURUSD also fell below the 200 hour MA at 1.06378 (more bearish) while the GBPUSD is holding above the 100 day MA at 1.2418 (bullish).  So that technical dynamic is bearish for the EURGBP.  

Nevertheless. traders in liquid pair like to lean against key support (resistance) levels. The 0.85477-51 is a pretty good support level.