While EURUSD is going lower, the GBPUSD moves higher
The GBPUSD tests the February 5 swing high at 1.30692. EURGBP getting hit.
The EURUSD just moved to new session lows, but for the GBPUSD it is moving to new session highs. The price just broke above its 200 bar moving average on the 4 hour chart at 1.30514 (close risk now along with the 50% at 1.30398) and has extended up to the swing hi from February 5 at 1.30692. That is where sellers have leaned on the 1st look.
Buyers continued to trend the pair to the upside. The next target on a break of 1.3069 would be the 61.8% retracement 1.30796.
With the EURUSD moving lower and the GBPUSD moving higher, that translates into a sharp fall in the EURGBP.
Looking at the daily chart, the pair has moved away from the 0.8377-91 swing area (yellow area) and has moved toward the swing lows from December (and lows from 2019) at 0.8304 and 0.82594 respectively (December 15 and December 16 lows). Those lows may give sellers cause for pause (risk can be defined and limited) with stops on a break of the 0.82594 level.