FxWirePro: EUR/GBP extends gains on upbeat German PMIs, eyes 61.8% Fib at 0.9183

EUR/GBP chart - Trading View 

EUR/GBP was trading 0.20% higher on the day at 0.9117 at around 08:45 GMT, bias bullish.

Euro buoyed as German Preliminary Manufacturing PMI betters estimates with 50.0 in July. The pair is extending upside for the 4th straight session.

“July’s PMI registered firmly in growth territory and well above expectations, in a clear sign that business conditions are improving across Germany as activity and demand recover." said Phil Smith, Principal Economist at IHS Markit.

Price action is extending break above 'Symmetric Triangle' pattern raising scope for further upside.

Technical studies support gains. Stochs and RSI are sharply higher and RSI shows strength above 60 level.

Volatility is rising on the daily charts and analysis of the GMMA indicator shows both major and minor trend are bullish.

Price action has held strong support at 21-EMA, weakness only on break below. Next bull target lies at 61.8% Fib at 0.9183.

Support levels - 0.9078 (5-DMA), 0.9045 (21-EMA)

Resistance levels - 0.9183 (61.8% Fib), 0.9207 (Upper W BB)