EUR/GBP jumps back close to 0.8100 level

A fresh wave of selling pressure around the British Pound helped the EUR/GBP cross to gain over 100-pips from sub-0.8000 handle and move back close to 0.8100 level. 

The UK has voted to leave the European Union at a historic referendum on Thursday and the British Pound witness a broad selling pressure across the board, lifting the EUR/GBP cross to its highest level since April 2014. The pair, however, managed to retrace a bit from session high level of 0.8319 and extended its pull-back during early European trading session, dragging the cross back below 0.8000 handle. 

The pair now seems to have stabilized around previous yearly high level of 0.8100 touched earlier during April. Going forward, focus remains on negotiations, news, developments and announcements surrounding the unexpected outcome of the referendum and could have lasting effect on the British Pound.

Levels to watch

On the immediate upside, Euro bulls would be aiming to move back above 0.8200 handle, above which the cross could retest session high level above 0.8300 and extend its upward trajectory further towards March 2014 highs resistance near 0.8395-0.8400 region.

On the flip side, weakness below 0.8000 psychological mark support is likely to be bought into and hence might be restricted by a strong resistance turned support around 0.7950 area.