FxWirePro: EUR/GBP extends pullback from cloud base support, tests 200H MA as pound remains under pressure

EUR/GBP chart - Trading View 

EUR/GBP was trading 0.15% higher on the day at 0.9031 at around 03:35 GMT, after closing 0.83% higher in the previous session.

The pair is extending bounce off cloud base support and has tested 200H MA, decisive break above will fuel further upside.

The pound sterling remains under pressure with the UK imposing stricter restrictions to control the spread of the new coronavirus variant.

UK's coronavirus lockdown restrictions overshadowed Brexit and vaccine optimism keeping upside potential for the pair.

Technical indicators on the daily charts have turned neutral after failure to extend weakness below 200-DMA.

On the weekly charts, the pair has held strong support at 55W EMA at 0.8939. Decisive break above 200H MA will drive further gains.

Resistances for the pair align at 0.9042 (200H MA), 0.9049 (20-DMA) and 0.91 (psychological mark). 

While on the flipside, supports are seen at 0.9016 (5-DMA), 0.8939 (55W EMA) and 0.8978 (200-DMA).