Profit-taking seems to be the theme at the beginning of the week, and in the case of the sterling, buyers have reduced their bets in anticipation of the BoE meeting.
The euro took a chance to bounce from the key short-term support area around 0.8550 after a week-long consolidation. The rise above the bearish trendline coupled with the previously mentioned RSI divergence would confirm the bullish bias.
Clearing the psychological level of 0.8600 would open the path towards the next target 0.8650.
