EUR/GBP falls back so far today

Another interesting reaction seen across the FX markets since this time yesterday morning has been the fall back in the EUR/GBP. That cross rose above 0.8660 at one point yesterday. In fact it reached its highest level in more than a year, when it topped out at 0.8663. The pair later fell back with the EUR/USD as the GBP/USD outperformed in relative terms. So, the US close last night was set at 0.8543. It has fallen back a bit more so far today. The low seen has been set at 0.8525. The question now; is that fall a correction to the surprising and rather dynamic rise seen this week?  Hard to say at this stage, but one thing is for sure, the charge higher since last week has certainly had some wind taken out of its sails. It is also becoming clear that a good degree of that earlier rise has its roots in price discovery. The EUR/GBP is right now close to that session low, currently trading at 0.8527