EUR/GBP consolidates near 0.8400, still limited below 0.8430

EUR/GBP is rising modestly on Tuesday. Earlier today broke above 0.8400 but the rally was limited by 0.8420. During the last hours, it remained trading between 0.8390 and 0.8420. 

The US dollar started to rally against the pound first, pushing EUR/GBP to the upside, but then, it climbed also versus the euro and EUR/GBP pulled back. 

Without direction

Today EUR/GBP is moving with a bullish trend. On a wider perspective, the pair continues to move sideways with a slight upside bias but the upside remains limited by 0.8430. A consolidation significantly on top could open the doors to a more sustain rally. 

On the downside, the area around 0.8350 is a relevant area. The pair traded momentarily below last week but it was rejected. So a daily close below that level could weaken the euro and target the 200-day moving average that stands at 0.8310. The next support could be seen at 0.8245/50 (July low).