EUR/GBP ticks higher but remained below 0.8400 ahead of UK CPI

The EUR/GBP cross ticked higher on Tuesday but remained well below 0.8400 handle to currently trade around 0.7375-80 band ahead of the release of UK CPI print for June. 

On Monday, the pair resumed with its near-term corrective move as the British Pound benefitted from SoftBank Group Corp.'s offer to buy chip maker ARM Holdings Plc. However, the fall in EUR/GBP cross was limited as the shared currency also got a boost from fading risk-aversion sentiment after a failed military coup attempt in Turkey. 

During European trading session on Tuesday, investors will focus on the release of UK CPI and German ZEW Economic Sentiment, for some immediate momentum play. Traders this week will continue to confront the releases of some top-tier releases from the UK. However, this week's key highlight would be ECB monetary policy meeting on Thursday, which would be the next big trigger that would enable investors to determine the near-term direction of the EUR/GBP pair. 

Technical levels to watch

Sustained move back above 0.8400 handle seems to boost the pair immediately towards 0.8430 resistance, above which the pair seems all set to resume its near-term bullish momentum and head back above 0.8500 handle towards testing recent closing highs resistance near 0.8580 region.

On the downside, 0.8330 level now seems to have emerged as immediate support, which if broken is likely to drag the pair back below 0.8300 handle towards retesting 2-week lows support near 0.8250 region.