EURGBP lost its shine after the hawkish rate cut by the ECB. Intraday bias remains bearish as long as resistance 0.8380 holds. It hits a high of 0.83290 at the time of writing and is currently trading around 0.83313.
The European Central Bank (ECB) has cut rates by 25 basis points as anticipated, reducing the deposit facility rate to 3.25% and the main refinancing rate to 3.40%, down from 3.65%.
Technicals-
The pair is trading below 34- and 55 EMA in the 4-hour chart.
Any sustained break below 0.83200 confirms a bearish continuation. A dip to 0.8300/0.8280/0.8235 is possible. The near-term resistance is around 0.83500. A jump above targets 0.83805/0.8400/0.8435 is possible. Bearish invalidation is only above 0.84350.
Indicator (4-hour chart)
CCI (50)- Bearish
Average directional movement Index - Bearish
It is good to sell on rallies around 0.83500- with SL around 0.83805 for a TP of 0.8285.
