EURGBP Update: Bullish Run Stopped at 0.85600

• During the Asian trading session, EURGBP tried to move above the 0.85600 level.
• This week’s bullish run for EURCHF was stopped on Wednesday at the 0.96322 level. 

EURGBP chart analysis

During the Asian trading session, EURGBP tried to move above the 0.85600 level. The euro was under increasing pressure as we approached the EU session, and we began to retreat. Very quickly, we dropped below the EMA200 and 0.85500 levels. The fall did not stop there, and we slipped to the 0.85385 level. We are close enough to test the previous low from Tuesday at the 0.85353 level.

It could easily happen that we slip below and form a new weekly low. Potential lower targets are the 0.85350 and 0.85300 levels. For a bullish option, we need a new positive EURUSD consolidation. Returning to 0.85500 levels would give us optimism that we have the strength to recover. Crossing above the EMA200 and the 0.85550 level, we return to the bullish side and expect further continuation. Potential higher targets are the 0.85575 and 0.85600 levels.

EURCHF chart analysis

This week’s bullish run for EURCHF was stopped on Wednesday at the 0.96322 level. From that level, we initiate a bearish consolidation and begin a pullback. By the end of the day, we went down to the 0.96100 level. During the previous Asian trading session, the pair continued to slide down to the 0.85900 level. Chances are high that we will see a further continuation and fall to a new daily low.

Potential lower targets are 0.95850 and 0.95800 levels. The EMA200 moving average is a step lower at the 0.85750 level. For a bullish option, we need a return of EURCHF above the 0.96000 level. Then, we would have to form a bottom there, from which we would have the opportunity to continue the recovery to the bullish side. Potential higher targets are 0.96100 and 0.96200 levels.