EUR/GBP Bears Eye 0.8550 Support as Volatility Increases

The EUR/GBP currency pair is in a bearish phase as of August 24th, with sellers focused on the 0.8550 support level.

This critical floor has historically acted as a pivot point for EUR/GBP over the past several months, and its repeated use makes it a key area for traders monitoring the pair's next directional move.

A sustained break below 0.8550 could open the door to further downside, with the next notable support likely around 0.8500 or lower, while a strong bounce from this level may trigger short-covering and a recovery toward the 0.8600-0.8620 resistance band.

Momentum studies on the daily chart suggest that downside pressure remains intact, with the pair trading below its key moving averages, and the relative strength index (RSI) hovering in bearish territory, though not yet oversold.