EUR/GBP reaches fresh 3-year highs

The British pound is underperforming on Monday, having fallen to fresh 2016 lows against the euro.

EUR/GBP broke above the 0.8650 zone and stretched to its highest level since Aug 7 2013 at 0.8677 in recent dealings. There were no clear catalysts behind the pound fall, with low liquidity exacerbating moves. At time of writing, EUR/GBP is trading at 0.8670, up 0.29% on the day.

EUR/GBP levels to watch

In terms of technical levels, next resistances are seen at 0.8695 (Aug 5 2013 high), 0.8730 (Aug 7 2013 high) and 0.8768 (Aug 1 2013 high). On the other hand, supports could be faced at 0.8583 (Aug 12 low), 0.8528 (10-day SMA), 0.8445 (20-day SMA).