EUR/GBP failed at 0.8500, back near 0.8410

After a brief test of the boundaries of 0.8500 the figure, EUR/GBP has now deflated to the low-0.8400s ahead of the opening bell in the Old Continent.

EUR/GBP attention to data releases

The ex-European cross lost upside momentum on Wednesday as the Sterling seems to have woken up from its recent consolidative pattern along with a solid performance of the single currency since the end of last week.

EUR/GBP will be in the limelight later in the session following the releases of Services PMI in both the euro bloc and the UK. Later in the week, the BoE MPC meeting will grab all the attention, with consensus pointing to a 25 bp rate cut and some additional easing measures, leaving GBP under scrutiny.

EUR/GBP key levels

The cross is now up 0.11% at 0.8413 facing the initial resistance at 0.8495 (high Aug.2) followed by 0.8627 (2016 high Jul.6) and then 0.8651 (high Aug.28 2013). On the downside, a breach of 0.8383 (23.6% Fibo of 0.7595-0.8627) would expose 0.8248 (low Jul.14) and finally 0.8233 (38.2% Fibo of 0.7595-0.8627).