Euro Finds some Support around 0.8865

Looking at the euro currency (EUR) on the above daily EUR/GBP daily MT 4 price action chart, this Forex market is attempting to find a bottom after some steep losses overnight. The EUR/GBP currency exchange rate shed 1.5 percent over the first half of the week.

The euro has found some support near 0.8865 but price action continues to favor the British pound (GBP) as this currency exchange rate has been unable to stage a meaningful recovery.

The United Kingdom will be releasing their preliminary quarterly gross domestic product (GDP). Britain is also releasing monthly industrial production as well as monthly manufacturing production data.

The United Kingdom will also release their 3m\3m services index and the monthly RICS housing price index. Germany is publishing their final monthly gross domestic product and the Eurozone is publishing monthly industrial production data.

The United States will release weekly first time and continuing claims data. The world’s largest economy is also publishing their monthly core and headline consumer price index (CPI). The U.S. is also releasing weekly crude oil inventory data.

Daily Euro Currency Technical Outlook (EUR/GBP)

Looking at the above price action chart, the euro has broken below the trend line support in play since late April as the British pound is in favor with Forex traders.

This comes after good news has supported the sentiment linked British pound thanks to coronavirus vaccine news form Pfizer. There is also positive news surrounding Brexit supporting the Sterling dollar.

With that said, there is a key support level in play at 0.8865. A daily close below this level opens the door to challenge the technical support at 0.8675. The 10 March low price point lining up at 0.8620 then comes into play.

On the upside, a daily close a daily close above the two hundred day simple moving average at 0.8925 challenges the former trend line support at 0.8965. This would then open the door for the trend line resistance at 0.9045.