EUR/GBP technical analysis: Bears target the 200-DMA

• Bears in control below prior trendline support and 4th Sep' highs at 0.9080.
• Brexit and ECB risks make case for an extension to 61.8% target. 

EUR/GBP has been holding at the bottom of the recent selloff from the august highs up in the 0.93's and has based on the way to the 50% mean reversion of the late April to Aug swing highs. The prospects for a deeper reversal is on the cards so long as the ECB doesn't disappoint and markets continue to discount the had-Brexit risk, which then opens prospects of the 61.8% Fininacci target and the 200-Day moving average targets between 0.8840 and 0.8810. On the upside, bulls can look to the prior trendline support and 4th Sep' highs at 0.9080.

Daily chart