• EUR/GBP drifts lower and snaps a four-day winning streak to a multi-month peak.
• The upbeat German Industrial Production data lends support and helps limit losses.
• This week’s breakout through the crucial 200-day SMA hurdle favors bullish traders.

The EUR/GBP cross comes under some selling pressure on Wednesday and erodes a part of the previous day's strong move up back closer to a three-month peak touched earlier this week. Spot prices, however, recover a few pips from the daily low and trade with modest intraday losses, around the 0.8600 mark during the early part of the European session.

The shared currency attracted some buyers following the release of German Industrial Production data, which showed that the output in the Eurozone’s top economy increased by 1.4% MoM. The reading was better than the expected increase of 1.0% and a 2.5% drop registered in May, which, in turn, acts as a tailwind for the EUR/GBP cross. The upside, however, remains capped in the wake of the European Central Bank's (ECB) downbeat view of the Eurozone's economic prospects and overbought conditions on the daily chart.