FxWirePro: EUR/GBP capped at 200-DMA (0.8818), good to go long on break above

• EUR/GBP has broken stiff resistance at 200-DMA at 0.8818, raising scope for further upside.
   
• Euro largely supported after German Gfk consumer confidence remained solid in July and inflation largely inline with expectations.
   
• The pair is trading 0.55% higher on the day, hits 3-month highs at 0.8861.
   
• Price action is holding above daily cloud and 100-DMA. Momentum studies also support upside.
   
• Break above 200-DMA will now see test of 38.2% Fib at 0.8882 ahead of major trendline resistance at 0.8915.
   
• On the flipside, retrace below 200-DMA could see test of 100-DMA at 0.8785. Violation there could drag the pair lower to test major trendline support at 0.8735.

Support levels - 0.8818 (200-DMA), 0.88, 0.8778 (55-EMA)

Resistance levels - 0.8882 (38.2% Fib), 0.89, 0.8920 (major trendline)

Call update: Our previous call (https://www.econotimes.com/FxWirePro-EUR-GBP-capped-at-200-DMA-08818-good-to-go-long-on-break-above-1391091) has hit TP1.

Recommendation: Book partial profits at highs. Hold for 0.8880/ 0.89/ 0.8920

FxWirePro Currency Strength Index: FxWirePro's Hourly EUR Spot Index was at -32.9275 (Neutral), while Hourly GBP Spot Index was at 27.0931 (Neutral) at 1215 GMT. For more details on FxWirePro's Currency Strength Index, visit http://www.fxwirepro.com/currencyindex.