EURGBP- A failed attempt on the upside on Wednesday saw EURGBP closing lower. This has turned risk to the downside possibly towards the 0.8263 level, its Jan 16’2012 low with a convincing breach of that level targeting its Aug’2010 low at 0.8141. Further down, support comes in at its 2010 low at 0.8066 level. Its daily RSI is bearish supporting this view. On the other hand, the cross will have to break back above the 0.8423 level to prevent further weakness. In such a case, the 0.8504 level will be targeted with a violation of there turning attention to its Dec 08’2011 high at 0.8560. Further out, the 0.8616 level will come in as the next upside objective. All in all, the cross is now facing an immediate downside threat on the back of its Wednesday price rejection.
