Societe Generale’s Kenneth Broux and colleagues note that EUR/GBP has bounced from February’s 0.8610 support and is now approaching its 200‑day moving average. The bank highlights nearby resistance at 0.8720 and 0.8765 and warns that a drop back below 0.8630 could revive the broader downtrend in the cross over the coming days.

Cross rebounds off February support

"EUR/GBP successfully defended the graphical support at 0.8610, corresponding to the February trough, and has since staged a modest rebound towards the 200‑DMA."

"It will be important to observe whether EUR/GBP can establish itself above this moving average."

"The next resistance levels are located at a projection of 0.8720, followed by the upper boundary of the descending channel near 0.8765."

"A failure to hold above last week’s low at 0.8630 could trigger a resumption of the down trend."

"Technically, the pair continues to trade heavy and it will be important to observe whether it can carve out a higher low than 1.1411 and attempt a rebound from there into April."

(This article was created with the help of an Artificial Intelligence tool and reviewed by an editor.)