EUR/GBP breaks below 0.7245 as Pound soars
EUR/GBP correction intensifies
The pair is falling so far modestly on Wednesday as it corrects lower after being unable today to break above yesterday’s highs located at 0.7279. From the highs is has fallen more than 50 pips, but the short-term outlook has turned bearish.
To the downside, the relevant immediate support is located at 0.7200, where the 100 and 200-day MA currently stands. As long as the price remains above, the decline could be limited; but if it drops under, the decline could accelerate.
On a wider perspective, looking at the weekly chart the pair continues to consolidate, between 0.6900 and 0.7400, currently with the price attempting to rise above the 20-week MA (0.7210).
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