EUR/GBP mildly weaker around 0.92 handle

Having failed to sustain early uptick beyond the 0.9200 handle, the EUR/GBP cross met with some fresh supply and refreshed session lows post-UK services PMI.

The cross dropped to 0.9180 level despite of a weaker-than-expected UK Services PMI print, coming-in at 53.2 for August as compared to 53.5 expected and previous month's reading of 53.8. The fall turned out to be short-lived and the cross quickly recovered back to the 0.9200 handle. 

Meanwhile, a mildly softer tone around the shared currency, led by a slight disappointment from the final EZ PMI prints continued keeping a lid on any further up-move for the cross.

The recent price-action, however, clearly seems to indicate that traders remained reluctant to carry/initiate aggressive bets ahead of the very important ECB monetary policy decision, due to be announced on Thursday.

Technical levels to watch

Immediate support is pegged near 0.9170 area, below which the cross is likely to fall towards mid-0.9100s en-route 0.9125 and the 0.9100 handle. 

On the upside, any up-move might continue to confront fresh supply near the 0.9220-25 region, which if cleared could lift the cross back towards 0.9265 horizontal resistance ahead of the 0.9300 handle.