Forex: EUR/GBP knocks on 0.88 dumping to 0.86 right after

Big moves this Monday in markets, and EUR/GBP was not an exception, climbing first to a fresh 15-month high at 0.8815 in very early NY trade, to start dumping soon after when first results for Italian election started to come out, showing signs of uncertainty. Mostly all markets printed highs around 15:00 GMT, and then started to selling off, every kind of risky asset.

EUR/GBP 0.8815 highs came on the back of Euro strength in early London session, following great weakness from Pound over last few days, making it one of weakest currencies among majors, for then all of a sudden, with Italian voting results in the pipeline, EUR/USD starting to slide from fresh weekly highs at 1.3317, to fresh 1-month lows at 1.3047, last at 1.3065. Meanwhile GBP/USD got even stronger, moving to daily highs at 1.5200, thus making EUR/GBP cross getting hammered to fresh weekly and 4-day lows at 0.8601, last at 0.8618, down -1.4% for the week, despite Friday's UK Moody's downgrade.

Immediate support to the downside for EUR/GBP lies at recent session/weekly lows 0.8600, followed by Feb 15 lows at 0.8572, and Feb 12 lows at 0.8540. To the upside, closest resistance shows at Feb 13 highs 0.8686, followed by Feb 01 highs at 0.8720, and Feb 20 highs at 0.8764.