EUR/GBP eyes 0.8735 after breakout – Société Générale

EUR/GBP is extending its uptrend after defending the 200-DMA in May and breaking above recent consolidation, with momentum indicators pointing higher. The pair eyes the April high at 0.8735 and projections near 0.8780, while support rests at 0.8585/0.8575, Société Générale's FX analysts note.

Steady uptrend points to 0.8780 next

"EUR/GBP successfully defended the 200-DMA in May and has experienced a steady uptrend after this test. It has overcome the upper limit of recent brief consolidation at 0.8575 highlighting regaining upward momentum."

"This is also denoted by the daily MACD which remains anchored within positive territory. Next objectives could be located at April high of 0.8735 and projections near 0.8780. Last month peak of 0.8585/0.8575 is a short-term support."