Traded down to lowest level since November 1
The EURGBP traded to the close level since November 1 early in the session on expectations of success with Brexit negotiations. Then things got messy and when the BBC reported that negotiations would not lead to an agreement today, the pair rebounded sharply.
However, when the price reached the 100 hour MA (blue line in the chart above), the sellers entered and pushed the price down to let the dust settle.
The low today reached 0.8759. On the daily chart below, I am eyeing the 0.87425 as a level to get to and through if the pair is to get more bearish. There have been a 3 tests and bounces of the level going back to July. On the 1st day of November, the price fell below the level, only to fail.
Ahead of that level sits the 200 day MA (see green line in the daily chart above) at the 0.8798 level. The price needs to dip back below that level (and close below) to give the bears more control. The price has not closed below the 200 day MA since May 2017.
