EUR/GBP slips to near 0.8700 due to BoE caution, Ukraine tensions

EUR/GBP continues its decline for the second consecutive session, trading around 0.8710 during European hours. This downward movement is attributed to the caution emanating from the Bank of England. Market volumes are expected to be thin due to the year-end holidays. Additionally, geopolitical tensions surrounding the Ukraine-Russia peace process have resurfaced, drawing traders' attention. These factors combined have forced EUR/GBP to face downward pressure. In the short term, levels around 0.8700 are of interest, but with a lack of clear support and resistance awareness, traders must be wary of sudden market movements, especially during this thin trading environment typical of year-end.