EUR/GBP hits fresh lows below 0.84 as strong UK employment figures bolster the British Pound, setting the stage for a potential test of the 0.8225 support level.
The EUR/GBP pair has broken below the key 0.84 support level for the first time since May 2024, signaling a shift in momentum. This decline is primarily driven by robust UK labour market data, which has bolstered the British Pound and placed downward pressure on the Euro. Technical analysis suggests that if the pair clears the 0.8376 support level, it is likely to test the 2024 low of 0.8225.
The next major support level is 0.8376, which represents a 76% retracement of the 2024-2025 rally.
If the pair sustains its downward momentum, it is expected to return to the 2024 low of 0.8225.
The EUR/GBP pair breached the 0.84 support level for the first time since May 2023, driven by robust UK labour market data. Technical indicators suggest the pair faces a critical test at 0.8376, with potential for further downside toward the 0.8225 level.
The decline is primarily driven by strong UK labour market data, which has increased demand for the British Pound relative to the Euro.
The pair is currently testing 0.8376, which represents a 76% retracement of the 2024-2025 rally. A break below this could lead to a decline toward the 0.8225 support level.