EUR/GBP gains momentum, rises to fresh 2-week highs

After trading steady during hours around 0.8500, in a minor range, EUR/GBP  broke to the upside boosted by a rally of the euro in the market. The pair rose from 0.8505 to 0.8544, hitting the highest level since August 30.

Currently, it trades at 0.8530, up 0.32% for the day. The euro is rising for the second day in a row against the pound as it continues to recover after the bearish correction from 0.87020 (2016 high) to 0.8330 (last week low).

A weak Pound today also contributed to push EUR/GBP to the upside. Traders appear to be cautious ahead of the Bank of England decision tomorrow.

Technical levels

To the upside, resistance levels might be located at 0.8545 (daily high), 0.8565/70 (Aug 25 & 26 high) and 0.8605/10 (Aug 22 low). On the flip side, support could be seen at 0.8520 (Asian session high), 0.8495 (Sep 8 high) and 0.8440 (Sep 9 low).