The cross was lost the 0.88 handle and fell from 0.8828 to the 100-hr SMA at 0.8994 on Brexit related noise with the UK winning the first vote to overturn the Lord’s defeat on the EU withdrawal bill by a majority of 22. EUR/GBP then went on to 0.8768 the session lows closing at 0.8781 in NY.
The 100-D SMA held the price on the dip and out of the descending channel on Monday and now the 100-D SMA caps bullish attempts. The price still has no clear direction and the bulls need to get through the 200-D SMA at 0.8835. Through there, we have the 0.8846 7th May high and the 55-week moving average at 0.8859. On a follow-through, we have the 0.8969 recent high and the 0.9034 October 2017 high as key upside targets. To the downside, 0.8700 and the double bottom lows are exposed at 0.8697, guarding the downside support of the descending channel. 0.8620 protects a run towards 0.8526 as being the 78.6% retracement of the move from 2017 on the wide.
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