EUR/GBP decline accelerated to as low as 0.8453 last week and met 61.8% retracement of 0.8221 to 0.8863 at 0.8466. But as a temporary low was formed with subsequent recovery, initial bias remains neutral this week first. Upside should be limited below 0.8615 support turned resistance. Firm break of 0.8453 will target a retest on 0.8221 low.
In the bigger picture, current development suggests that rise from 0.8221 (2024 low) has completed at 0.8863, just ahead of 38.2% retracement of 0.8221 (2024 low) to 0.8863 (2025 high) at 0.8618. Deeper fall would be seen back to 0.8221 (2022 low). For now, outlook will be neutral at best as long as 0.8863 hold.
In the long term picture, price action from 0.9499 (2020 high) is seen as part of the long term range pattern from 0.9799 (2008 high). Range trading should continue between 0.8201 and 0.9499, until there is clear signal of imminent breakout.
