Even as the Euro financial saga continues, the EURGBP is looking resilient and finding support at 0.8550.  The level stands as a key support level in the short term 15-minute timeframe as the currency pair has tested the figure several times over the last week or so, failing only once.

Reinforcing this sentiment is a bullish convergence in the Moving Average Convergence Divergence (MACD) oscillators as the key gauges are showing a golden cross.  Stochastic is also supportive of the move higher, with a reading slightly above 30, gaining on a turn in oversold territory.  Both are indicative of a rise in the exchange rate, coinciding with support barriers at 0.8565 or the 100 period simple moving average.

With an overwhelmingly bullish short term picture, we anticipate a move higher in the currency pair before a move lower.  Initial barriers at 0.8573 will likely provide some resistance, with 0.8596 session high offering more in the way of formidable selling.  Penetration through this level would provide enough impetus for a break higher to 0.8642 (October 3rd session high).

Any adverse moves lower would entail and prerequisite breakdown through the 0.8550, with support not seen until the 0.8530 low set back on October 11th.