EUR/GBP retreats from 0.8450, returns to 0.8400

EUR/GBP lost some upside momentum and has faded the overnight spike to highs near 0.8450.

EUR/GBP attention to EMU, UK data

The European cross is struggling to keep the trade above the 0.8400 handle today, trading slightly in the red territory for the first time after five consecutive sessions with gains.

A better tone around the common currency coupled with a persistent consolidation around the British pound has been sustaining the up move in the cross as of late, which will remain under scrutiny in light of key flash inflation figures in the euro area and UK’s credit figures.

EUR/GBP key levels

The cross is now losing 0.10% at 0.8408 facing the initial support at 0.8248 (low Jul.14) ahead of 0.8233 (23.6% Fibo of 0.7595-0.8627) and finally 0.8111 (50% Fibo of 0.7595-0.8627). On the other hand, a surpass of 0.8627 (2016 high Jul.6) would open the door to 0.8651 (high Aug.28 2013) and then 0.8712 (high Jul.17 2013).