Double bottom at recent 61.8% retracement
The EURGBP is up testing the 100 and 200 hour MAs at 0.89199 and 0.89306 respectively. The 38.2% of the move down from last week's high comes in at 0.8923.
The low today bottomed at near the low from yesterday and the 61.8% of the move up from the September 27th low at 0.8854 area. The holding of that level and move away, gave the buyers a risk defining level. The comments from BOE officials today (Ramsden and Tenreyro) were less hawkish.
If the 100 and 200 hour MAs are going to put a lid on the pair, the sellers would like to see the price move below the 0.89058. That level has been home to swing levels going back to October 5th (blue circles). Staying above would be more bullish. A break above the 200 hour MA should solicit more buying momentum.
