EUR/GBP recedes to 0.7950 ahead of UK CPI

The ongoing sell-off in the cable sends the cross in the EUR/GBP higher for the fourth consecutive day today, although the price eases from daily tops heading into the UK CPI report.

EUR/GBP extends retreat from 2-month tops

Currently, the EUR/GBP pair rises +0.42% to 0.7956, retreating from daily tops reached at 0.7973. The EUR/GBP cross stalled its upbeat momentum and came under renewed selling pressure over the last hour, solely on the back of extension of the losses in EUR/USD amid broad based US dollar rebound.

However, the cross remains supported as the cable remains heavily sold-off into lingering Brexit jitters, especially after the latest polls showed that the Leave campaign leads the way. Next in immediate focus remains the UK CPI report, with markets expecting a better reading to rescue the GBP bulls and hence, drag EUR/GBP further south.

EUR/GBP Technical Levels   

To the upside, the next resistance is located at 0.7972 (Daily high) above which it could extend gains to 0.7986/0.8000 (Jun 13 High/ round number). To the downside immediate support might be located at 0.7908 (5-DMA) below that at 0.7879/76 (10-DMA/ 1h 100-SMA).