- The euro eased from a 5-month peak against the British pound as sterling attempted a minor recovery across the board.
- Investors welcomed stimulus measures from the Bank of England and the British government, including an interest rate cut and billions of pounds of support for struggling firms
- On Thursday, the euro surged after the European Central Bank approved fresh stimulus measures to help the eurozone economy cope with the growing cost of the coronavirus epidemic.
- EUR/GBP is trading 0.5 percent down at 0.8859, having hit a high 0.8939 earlier, its highest since October 10.
- Momentum indicators are bearish on hourly charts: RSI down at 46, MACD supports downside and Stochs are biased lower.
- Immediate resistance is located at 0.8962, a break above could take it near 0.8999.
- On the downside, support is seen at 0.8831, a break below could drag it till 0.8803.
Recommendation: Good to sell on rallies around 0.8892 with stop loss of 0.8925, and target price of 0.8831.
