• EUR/GBP treads water, pair still digesting yesterday's drop into the low 0.86s

• Pullback was likely more month-end flow related than a fundamental repricing

• Range lows 0.8600-15 still untested and holds significance

• Clean break below opens the 200-week MA at 0.8595

• May 7 local elections are a near-term GBP overhang

• That said, a weak Labour showing feels largely in the price

• Seasonal flows through May remain a GBP headwind though

• False break of 0.8590-0.8600 would likely be a dip-buyer trigger
EURGBP weekly chart


Justin McQueen is a Reuters market analyst. (The views expressed are his own). ((Email: ))