EUR/GBP hovers near 0.8550 ahead of key German data

• EUR/GBP edges lower in the early European session on Wednesday.
• The Euro gains momentum despite weaker data, German data eyed.
• The sterling remains on the backfoot amid  Brexit chaos.

After making a high of 0.8573 in the previous session, EUR/GBP trades lower in the European session. The pair confides in a narrow trade band ahead of crucial fundamental data.

At the time of writing, EUR/GBP is trading at 0.8557, down 0.02 % for the day.

The shared currency gathers momentum against the pound as the biggest economy of the EU, Germany economy grew 1.6% in Q2. The readings fell short of the 2% gain economist had forecasted.

It is worth noting that S&P 500 Futures were trading down at 4,481 with 0.02 losses.

On the other hand, the British pound lost to the single currency as the Brexit chaos continue to linger on. EU issued a legal warning over a bid to block the UK from the international convention.

As for now, traders are waiting for the German IFO Business Climate data to gauge the market sentiment.

Technically, EUR/GBP face downside pressure from the high of 0.8673 made on July 20 and continues to consolidate in the trading range of 0.8550 and 0.8570.

EUR/GBP additional levels