• EUR/GBP bulls flexed muscles and is trading near to yesterday’s close at 0.7067 levels.
  • It faces strong support at 0.7028 levels (20 DMA)and a break below could further weaken the pair to 0.6963 levels.
  • ZEW economic sentiment for Germany and the Eurozone scheduled later in the day will provide further direction to the pair. Market consensus points to an improvement for both Germany (forecast: 31.7, previous 29.7) and the Eurozone (forecast 43.9, previous 42.7).
  • The improvement in the ZEW data is expected to keep EUR boosted and could take the pair above 0.7080 levels (kijun sen).

Resistance Levels:R1: 0.7095 (Daily High Aug 7)R2: 0.7107 (55 EMA)R3: 0.7160 (Daily High Jun 27)Support Levels:S1: 0.7028 (20 DMA)S2: 0.6963 (Daily Low Jul 22)S3: 0.6938 (Daily Low Jul 20)

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