Keeps pressure on the EURUSD. Supporting the GBPUSD.
The EURGBP has taken a tumble below lower trend line support, accelerating the decline in the pair (the break point is currently at 0.7073). Stay below that line and the sellers remain in control.
The fall in the EURGBP is impacting the EURUSD and the GBPUSD. Those pairs may also be impacting the EURGBP - especially the GBPUSD.
The EURUSD has tumbled lower in trading today - falling below it's own lower trend line on the 5-minute chart and falling sharply. This of course, can put pressure on the EURGBP and indeed it has....
However, a cross currency pair takes two to tango and the GBPUSD has helped contribute to the weakness.
Looking at the GBPUSD action today, the pair is down on the day as well, but found support buyers against the 200 hour MA at the 1.5356 level (see chart below). Since then the price has spent the last hour moving in between the 100 hour MA at 1.5395 and the 200 hour MA at 1.5356.
So buyers in the GBPUSD against the 200 hour MA are helping not only to support the GBPUSD, but is also helping to send the EURGBP to the downside.
