EUR/GBP offered at 100-DMA

EUR/GBP was offered at 100-DMA of 0.8624 in Asia and was last seen trading below 0.86 handle. The cross is now trading lower for the fourth straight day.

Pound out-trumps Euro after Trump victory

The British Pound has remained resilient amid the broad based USD rally. Meanwhile, the rate differential was back in focus post Trump victory. Consequently, the EUR/USD pair has been heavily offered. 

This yielded a drop in the EUR/GBP cross from the high of 0.9025 (Nov 9 high) to 0.8567 (Nov 11 low). A minor corrective move in Asia quickly ran out of steam at 0.8630 levels.

EUR/GBP Technical Levels

A break below 0.8567 (previous day’s low) would open doors for 0.8545 (Sep 14 high), under which the losses could be extended to 0.85. On the higher side, resistance at 0.8624 (100-DMA) if breached would 0.87 (zero figure) and 0.8722 (5-DMA) levels.