EUR/GBP recovers losses as Cable sell-off gathers steam

EUR/GBP moved off lows to trade largely unchanged on the day 0.8040 levels as cable sell-off gathered pace pushing the pair below 1.40 handle.

Brexit fears weigh over GBP

Sterling is under pressure as the latest Brexit poll showed a narrowing gap between ‘exit’ and ‘leave’ vote. Moreover, it is keeping the currency pair under pressure despite uptick in the European equity markets and strength in oil prices.

The cross breached 0.80 handle on Friday for the first time since Oct 2014. With no major data due today, the cross is at the mercy of the overall demand for GBP and sentiment in the equity markets.

EUR/GBP Technical Levels

The immediate hurdle is noted at 0.8065 (Sep 2014 high), above which the cross could target 0.81 handle. On the other hand, a failure to sustain above 0.80 levels would expose 0.7928 (Feb 24 high).