EURGBP - Consolidates On Upside Failure

EURGBP - With an unsustained rally at the 0.8814 level seeing the cross turning lower on Monday, further price consolidation cannot be ruled out. This could force further downside towards the 0.8567 level. However, while this level caps, there is risk of an eventual return to the 0.8716 level. This if seen will leave it targeting the 0.8800 level, its psycho level and then the 0.8500 level. On the downside, EURGBP will have to break and hold below the 0.8716 level and the 0.8446 level to annul its upside and bring further declines towards the 0.8400 level and possibly the 0.8350 level. All in all, the cross remains biased to the upside medium term despite its consolidation risk.