EUR/GBP up, up and away n latest UK polls, eyes 0.8750

Currently, EUR/GBP is trading at 0.8724, up 0.29% on the day, having posted a daily high at 0.8743 and low at 0.8697.

YouGov poll: UK Conservatives projected to fall 16 seats short of overall majority

EUR/GBP took off on the latest surprise poll that really rubs salt into sterling's wounds due to the constant narrowing of the Conservatives lead of Labour.  The latest polls have come in showing that the UK Conservative party projected by polling firm YouGov to fall 16 seats short of an overall majority.

GBP/USD dropped like a stone and EUR/GBP took off on the 0.87 handle to aforementioned highs. The cross has since cooled down and dropped back to the 0.8720 support level.  This is just further evidence that is pointing towards June the 8th as being a very tight race and polls will continue to rock the pound from here on. 

EUR/GBP levels

Above 0.8751 will introduce scope to the 0.8790 March high and potential to the 0.8852 January high, according to analysts at Commerzbank. To the downside, 0.8690 and 0.8660 are the first key supports before 0.8640 (25th May low). In the long-term, Yann Quelenn Swissquote Bank SA notes that the pair has largely recovered from recent lows in 2015. "The technical structure suggests a growing upside momentum. The pair is trading above from its 200 DMA. Strong resistance can be found at 0.9500 psychological level."