- EUR/GBP upside capped below 100-DMA at 0.8653, bias remains neutral for the day.
- Pound dented by Bank of England's neutral policy stance.
- GBP bulls likely to stay on the sidelines ahead of the next month’s article 50 trigger date.
- Technical studies are slightly bullish, break above 100-DMA could see further upside.
Support levels - 0.8615 (20-DMA), 0.8584 (5-DMA), 0.8521 (23.6% Fib retrace of 0.9225 to 0.8305 fall), 0.85 (trendline)
Resistance levels - 0.8653 (100-DMA), 0.87, 0.8765 (50% Fib)
TIME TREND INDEX OB/OS INDEX
1H Bearish Neutral
4H Neutral Neutral
1D Neutral Neutral
1W Neutral Neutral
Call update: our previous call (http://www.econotimes.com/FxWirePro-EUR-GBP-trades-narrow-range-above-trendline-support-focus-on-BoE-policy-meet-519663) has hit TP1&2.
Recommendation: Book full profits at highs. Further upside only on break above 100-DMA.
FxWirePro Currency Strength Index: FxWirePro's Hourly EUR Spot Index was at -65.7609(Bearish), while Hourly GBP Spot Index was at -73.4325 (Bearish) at 0715 GMT. For more details on FxWirePro's Currency Strength Index, visit http://www.fxwirepro.com/currencyindex.
