In early Asian trading on Tuesday, EUR/GBP hit 0.8257, down 0.11%, gaining from a session low of 0.8253 and off from a high of 0.8266.
The pair was likely to test support at 0.8210, Monday's low, and resistance at 0.8325, the high of April 4.
Spain continued to grab headlines, as the country insists it can work out its financial problems, although investors remain worried.
The cost of insuring Spanish sovereign debt against default is soaring, pushing the yield on the country’s 10-year bonds above the 6% level on concerns Spain will miss targets to narrow its deficits.
Meanwhile across the English Channel from Europe, recovery is picking up in the U.K., fueling hopes the Bank of England will hold up on new stimulus measures.
U.S. ratings agency Standard & Poor's recently said it was sticking with its AAA rating for the U.K. on confidence the country would stick to austerity measures.
The pound, meanwhile, was down against the dollar and flat against the yen, with GBP/USD losing 0.10% and trading at 1.5884 and GBP/JPY trading at 127.86.
Later Tuesday, the U.K. is to produce industry data on consumer confidence, followed by official data on consumer and retail price inflation.
In the eurozone later Tuesday, the ZEW Centre for Economic Research is to publish reports on economic sentiment in Germany and for the entire single currency bloc.
The eurozone will release consumer price inflation data, while ECB President Mario Draghi is to speak.
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