- EUR/GBP struggles to keep gains above 0.86 handle, retraces back to 0.8550 levels.
- Expectations of further monetary easing by BoE lifted the pair to its highest level since late August 2013 on Wednesday.
- The pair finds strong trendline support at 0.8490, break below could drag the pair to 0.8375 levels.
- On the flipside, strong trendline resistance is seen at 0.86 levels, break above will see next hurdle at 0.8626 (July 6th high).
- BOE monetary policy meeting next week will remain the key fundamental trigger for the pair's next leg higher. Expect consolidation till then.
- The pair has shown a decisive breakout above major resistance at 0.8330 on the weekly charts.
- Momentum studies are bullish, RSI, Stochs and MACD on the weekly charts support further upside in the pair.
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