EUR/GBP off lows, near 0.7670

EUR/GBP is trading almost unchanged on Wednesday, keeping a narrow range below the 0.7700 handle.

EUR/GBP looks to UK referendum

The European cross is navigating 3-week lows in the 0.7670 area following a strong recovery of the sterling. GBP has gathered further traction this week after poll results showed the ‘Remain’ option keeps leading the voting intention ahead of the EU-UK Referendum due tomorrow.

On this side of the Channel, EUR met downside pressure after the somewhat dovish tone from President Draghi at his speech on Tuesday, adding to the so far 6-session decline.

EUR/GBP key levels

The cross is now losing 0.04% at 0.7668 and a breakdown of 0.7570 (low May 30) would open the door to 0.7523 (low Feb.3) and then 0.7310 (2016 low Jan.3). On the flip side, the next resistance lines up at 0.7733 (61.8% Fibo of 0.7570-0.7996) ahead of 0.7791 (20-day sma) and then 0.7823 (55-day sma).