EUR/GBP is consolidating close to session and weekly lows
- by George Solotarov
EUR/GBP is consolidating close to session and weekly lows around the 0.8650 mark, where it sits flat on the week. The pair saw some strength early on in the European session amid a combination of better-than-expected EU flash manufacturing PMI numbers and dire UK retail sales data, which lifted the pair as high as the 0.8670s, but the move higher did not have legs and, since the arrival of US players in the market, the pair has slipped back to test Thursday’s lows of just above the 0.8640 mark.
With the currency pair now having convincingly cleared the April 2020 low at 0.8670 to the downside, the door is open (technically speaking) to a run towards early 2020 lows of under the 0.8300 level, though such a move would require a further over 4% depreciation from current levels (note that EUR/GBP has depreciated just over 3% since the start of the year).