FxWirePro: EUR/GBP consolidates near 2-month trough, investors eye next catalyst

• The euro nudged up after falling to a 2-month low last week against the British pound amid expectations that the new British finance minister would unveil a more expansionary budget next month.
  
• EUR/GBP is trading 0.2 percent up at 0.8317, having hit a low 0.8295 on Thursday, its lowest since December 13.
  
• Investors wait to see the UK expand fiscal spending to help weather the impact of Britain’s departure from the European Union at the end of last month.
  
• Technical indicators are turning bearish: RSI weak at 34, MACD supports downside and Stochs are at oversold levels
  
• Immediate resistance is located at 0.8345 (23.6% retracement of 0.8504 and 0.8295), a break above could take it near 0.8375 (38.2% retracement).
  
• On the downside, support is seen at 0.8275, a break below could drag it till 0.8263.

Recommendation: Good to sell on rallies around 0.8305, with stop loss of 0.8315 and target price of 0.8275.