FxWirePro: EUR/GBP breaks major support at 0.7683 on poor German ZEW sentiment data

• Weakness seen in the single currency as German business morale deteriorated in May, following two straight months of increases.
   
• The headline ZEW economic sentiment came in much weaker at 6.4 points in May as compared to April’s 11.2 points and way below markets’ expectations of a rise to 12.1.
   
• The current situation sub-index, however, ticked higher to 53.1 in May, compared from April’s 47.7 and above forecast of 49.0 points.
   
• EUR/GBP below the 0.7700 handle ahead of data, now breaks below 38.2% Fib level support at 0.7683.
   
• The pair trades with a major bearish bias on the weekly and monthly charts, any pullbacks should be looked as selling opportunities.
   
• Support for remain vote in 'Brexit referendum' coupled with improvement in the UK economic data, had been a supportive for the Pound.
   
• We had given a short call (http://www.econotimes.com/FxWirePro-EUR-GBP-downside-stalls-at-382-Fib-break-below-needed-for-further-downside-210124) which is progressing.
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Recommendation: Hold for targets