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Forex pairs in this Article » EUR/GBP (London) - EUR/GBP has struggled time and time again ahead of 0.8600.

EUR/GBP has yet again failed to break through the channels resistance and opens 40 pips lower in London between 0.8560/65. The pair made a high yesterday of 0.8596 and appeared to be convincing there, but it began to move lower and eventually fell from 0.8580 in NY to 0.8553. A renewed emergence of dollar bulls were to blame in the move, with the EUR/USD finally breaking below 1.3000 psychological level. With the pound already appropriately offered and positioned on lows for the day, EUR/GBP came back into line. There are Markit services PMI for EZ nations and UK,(June), as well as Retail Sales for EZ (May) in focus coming up.

EUR/GBP Bullish set up compromised

Karen Jones, at Commerzbank, said she had considered the resistance as exposed following repeated tests and recovery off the 0.8470 support. The favored direction at that point had been for a break higher. However, she did say a failure at 0.8470 would indicate the pair could re-target to the 0.8422 mid-May low and the 2012-13 support line at 0.8401. Her medium term outlook for the pair is negative while trading below 0.8637 and April high.
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