The EUR/GBP pair drifted lower on Thursday, trading near the 0.8500 zone after the European session and settling within the middle of the day’s range. The decline reflects growing bearish sentiment in the short term, with technical signals tilting to the downside.
Bias for Euro (EUR) is tilted to the downside vs US Dollar (USD); any decline is likely limited to a test of 1.1280. In the longer run, current price movements are likely part of a consolidation phase between 1.1225 and 1.1410, UOB Group's FX analysts Quek Ser Leang and Peter Chia note.
The Pound Sterling (GBP) trades cautiously against its peers in Thursday’s European session ahead of the Bank of England’s (BoE) interest rate decision at around 11:00 GMT.