EUR/GBP technical analysis: Correction likely below 200-hour MA

• EUR/GBP's daily chart indicator is reporting overbought conditions.
• A break below the strong support of the 200-hour MA could yield correction.

EUR/GBP is looking overbought, as per the widely followed 14-day relative strength index, and could see notably correction once the 200-hour moving average (MA) support is breached.

This is due to the fact that the 200-hour MA has consistently served as strong support since May 29.

The average is currently located at 0.8890 and the pair is trading at 0.8907. Acceptance below the 200-hour MA would open the doors to 0.8826 (June 6 low).

Hourly chart

Trend: Bearish below 200-hour MA