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- Offered tone on the GBP keeps growing bigger after UK construction PMI misses forecasts.
- UK construction PMI for January came in at 55.0, compared to forecasts for a slight decrease to 57.5 from 57.8 in the previous month.
- Renewed risk-off wave seen across markets as the European equities dive deeper in the red also weighs.
- EUR/GBP faces strong resistance at 0.7620, break above can take the pair to 0.7660 and then 0.77 levels.
- Support on the downside lies at 0.7605 (5-DMA) and then at 0.7525 (Jan 22 lows).
Recommendation: Watchout for break above 0.7620 to go long, SL: 0.7540, TP: 0.7660/0.77
