UK’s trade with Eurozone partners takes a big hit with Brexit. First data after the Brexit shows more than %40 declined in exports on a monthly basis. Total monthly exports fell to 1999 levels. Imports from the Eurozone decreased more than %28.
According to a survey %23 of exporters have temporarily halted sales to the EU, and %4 of them stop exporting to the EU completely because of the red tape caused by Brexit.
EURGBP break critical supports and declined since Brexit, but if the slowing trade doesn’t start to pick up, bullish pressures may rise again. 0.85225 is a key support in the short-term. If the price can hold above it, 0.8675 resistance may be tested again, and above that resistance, the trend may be turned in favor of bulls again.
For downward moves below 0.85225, the medium-term target can be 0.8275.