FxWirePro: EUR/GBP trades in narrow range above 20-DMA, weakness only on break below

• EUR/GBP range-bound above 20-DMA support at 0.8731, we see weakness only on break below.
   
• Upside remains capped at 5-DMA at 0.8761, intraday bias neutral.
   
• Technical indicators have turned slightly bearish, MACD line is showing a bearish crossover on signal line.
   
• Break below 20-DMA support at 0.8731, raises scope then for test of 0.8648 (38.2% Fib of 0.8297 to 0.8866 rally).
   
• Violation at 38.2% Fib will see test of 100-DMA at 0.8614. Bearish invalidation on break above 0.8845 (channel top resistance).

Support levels - 0.8731 (20-DMA), 0.8648 (38.2% Fib of 0.8297 to 0.8866 rally), 0.8616 (200-DMA)

Resistance levels - 0.8761 (5-DMA), 0.88, 0.8845 (channel top)

Recommendation: Good to go short on break below 0.8725, SL: 0.8765, TP: 0.87/ 0.8650/ 0.8615

FxWirePro Currency Strength Index: FxWirePro's Hourly EUR Spot Index was at -76.6184 (Bearish), while Hourly GBP Spot Index was at -99.4971 (Bearish) at 0600 GMT. For more details on FxWirePro's Currency Strength Index, visit http://www.fxwirepro.com/currencyindex.