EUR/GBP has fallen to a fresh multi-month low, although strong support around the 0.8600 area continues to hold firm
EUR/GBP slid to its lowest level since 15 August 2025 on Wednesday, extending its bearish run as the pair tested the key support zone around 0.8610, a multi-month higher base that has repeatedly contained downside pressure.
The cross remains firmly under pressure after Monday’s 0.8% decline—the sharpest daily drop since 25 July last year—while Tuesday’s daily candle formed a long upper shadow, highlighting strong selling interest on rallies.
A sequence of lower highs established since mid-November 2025 continues to reinforce the prevailing downtrend. However, the resilience of the 0.8610 support area, where several recent selloffs have stalled, suggests that bears could once again encounter strong resistance at these levels.
Daily technical indicators favor the downside, with negative momentum accelerating and the RSI still having room to weaken further. A decisive break below 0.8610 and the 0.8600 region, which coincides with the 200-week moving average, would strengthen the bearish outlook and expose the next significant support at 0.8552, where the 50% retracement of the 0.8239–0.8865 rally converges with the 100-week moving average and the base of the weekly cloud.
Conversely, if support around 0.8600 continues to hold, the pair may enter a corrective phase. Any recovery is likely to remain limited, ideally capped below the 0.8640 area, which could offer fresh opportunities for sellers to re-enter the market.
Res: 0.8626; 0.8640; 0.8656; 0.8670
Sup: 0.8600; 0.8552; 0.8507; 0.8478
