EUR/GBP continues to improve as can be seen by the break of the resistance and declining trendline at 0.8789. However, monitor the resistance implied by 0.8838, as the bounce seems short-term overextended. Next support and resistance are given at 0.8668 (22/03/2018 low) and 0.8838 (23/02/2018 high).
In the long-term, the pair has largely recovered from 2015 lows. The technical structure suggests further upside pressure. Strong resistance can be found at 0.9500 (psychological level) while support remains at 0.8304 (05/12/2016 low). The pair is trading below its 200 DMA.
