FxWirePro: EUR/GBP consolidates break above 200-DMA, scope for further upside

EUR/GBP chart - Trading View

EUR/GBP was trading in an extremely narrow range in the early Asian session today.

The pair made a session high of 0.8836 and a low of 0.8811 as price action was seen consolidating previous session's break above 200-DMA.

Data released by the UK Office for National Statistics (ONS) earlier today showed UK CPI 12-month rate came in at +1.5% in March matching expectations and compared to +1.7% in the previous month.

Meanwhile, the core inflation gauge arrived at +1.6% YoY versus +1.7% booked in Feb, also inline with forecasts.

Analysis of the GMMA indicator shows major trend still remains neutral, while minor trend has shown a bullish turn.

Further, MACD is on verge of a bullish crossover on signal line and positive DMI crossover on negative DMI adds to the bullish bias.

Major hurdle lies at upper Bollinger band at 0.8973. Further bullishness could see gains till 0.93 levels.

The pair finds strong support at daily cloud and we see weakness only on break below.

Brexit and coronavirus updates will be crucial to follow amid increasing criticism of the Tory government’s handling of the coronavirus (COVID-19) crisis.