EUR/GBP breaking higher above 0.7900, awaits UK data

The cross in the EUR/GBP rebounded sharply this Wednesday, reversing a two-day slide, as the pound lost footing across the board heading into the UK jobs report.

EUR/GBP eyes 5-DMA at 0.7930

Currently, the EUR/GBP pair trades 0.27% higher at 0.7911, near fresh session highs reached at 0.7913 last minutes. The EUR/GBP cross is seen making minor-recovery attempts from three-week troughs, mainly driven by renewed weakness in the pound against the US dollar following this week’s rise.

While the EUR/USD trades largely subdued, retreating from session tops amid board based US dollar recovery, while markets remain wary ahead of ECB Draghi’s speech later today. Next of note for the cross remains the UK labour market report, which will provide further momentum on the prices.

EUR/GBP Technical Levels

To the upside, the next resistance is located at 0.7960/77 (10-DMA & 20-DMA), above which it could extend gains to 0.8000 (psychological levels). To the downside immediate support might be located at 0.7880 (50-DMA) below that at 0.7825 (Mar 29 Low).