British Pound: Gains extend as Euro tests channel support - Societe Generale

Societe Generale’s Kenneth Broux notes EUR/GBP has extended its decline after breaking the July low and is now testing support at the lower end of a multi‑month descending channel near 0.8370/0.8355. Broux highlights 0.8430 as initial resistance and warns that failure to clear this level could see the downtrend persist, keeping the cross below the 0.84 handle.

Cross grinds toward key supports

"EUR/GBP has extended its decline after breaking the July low."

"The pair is now challenging the lower limit of a multi-month descending channel near 0.8370/0.8355, which could be a potential support zone."

"A brief rebound cannot be ruled out however the high achieved earlier this week at 0.8430 may act as first hurdle."

"An inability to overcome this resistance may lead to persistence in down move."

"EUR/GBP inside day but stays below 0.84 handle."

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