EUR/GBP stuck in a range, awaits data for fresh impetus

The EUR/GBP cross extended its range-bound price action and remained capped below 100-day SMA for the second straight session.

Currently trading around 0.8600 handle, the cross was seen struggling for direction and has been oscillating around eight-week low. The pair's attempted recovery move to 0.8700 on Tuesday, led by disappointing UK CPI print was sold into. Even Wednesday's mixed UK jobs report failed to impress market participants, clearly suggesting near-term consolidative phase before the cross resumes with its near-term corrective slide. 

Today's key macro data from UK and Euro-zone would now be looked upon for the pair's next leg of directional move. UK monthly retail sales and the final Euro-zone CPI print are due for release later during European trading session.

Technical levels to watch

From current levels, 0.8570 horizontal level is likely to protect immediate downside below which the cross seems to accelerate the slide towards 0.8550 intermediate support before eventually dropping to 0.8500 psychological mark. On the flip side, 0.8625-30 region (100-day SMA) remains immediate barrier, which if cleared decisively might trigger a short-covering rally immediately towards 0.8700 handle en-route 50-day SMA resistance near 0.8780 region.

To learn more about this topic, check our video analysis