FXstreet.com (Córdoba) - Cable rose earlier to a fresh 2-month high against the Euro. EUR/GBP fell to 0.8846 (intra-day low) and posted the lowest price since August 15. The pair has a key support zone between today's low and 0.8840 (July 27, Sept 1 high); the next support could be located at 0.8770 and 0.8700 (Sep 4 low). To the upside, resistance lies at 0.8905/10 and above at 0.8980 (intra-week high).
Currently the pair trades at 0.8860/65, 0.40% below today's opening price and is falling for the fourth consecutive session, accumulating a decline of almost 200 pips.
Mohammed Isah, analyst at FXTechstraegy, sees the pair on a bearish mode: Having broken below its key support at its Nov 09'09 low at 0.8896, EURGBP is now targeting the 0.8837 level, marking its Sept 27'09 high with a loss of there aiming at its July 13'09 high at 0.8698.
According to Gareth Burgess, technical analyst at Chart Workshop, the pair could be due for a rebound soon and the levels to watch for this are located at 0.8830/20 and 0.8800. Gareth affirms: Target while below the 55 MA is the 30 week moving average currently at 0.8800 level and overall bias remains negative for now but watch the 0.8830/20 level.