EUR/GBP Price Forecast: Euro tests resistance at 0.8360 as Pound loses steam
- EUR/GBP bounces up nearly 0.3% on Monday to test resistance around the 0.8360 level.
- Eurozone Manufacturing PMI has been revised higher, with most of the main member countries posting stronger-than-expected activity.
- UK Manufacturing PMI confirmed preliminary figures but was unable to support the Pound.
The Euro (EUR) shows a significant recovery against the British Pound (GBP) on Monday, supported by the reversal in Oil prices and positive Eurozone manufacturing activity figures. The EUR/GBP pair trades nearly 0.3% higher in the daily chart, and is testing resistance rea at the October 27 and 28 lows, in the 0.8360 area.
The final Eurozone HCOB manufacturing Purchasing Managers’ Index (PMI) data has been revised to a 52.7 reading from the 52.4 preliminary estimate, closing the gap with September’s 52.9 reading. German final PMI confirmed estimations of 52.7, with France’s and Spain’s PMIs revised higher, while Italy’s activity contracted unexpectedly.
In the UK, the final S&P Manufacturing PMI confirmed preliminary data stating that the sector’s activity grew at a 52.8 pace in October, its strongest reading in five months, from 51.9 in September. These figures endorse hopes that the Bank of England (BoE) will hike its Bank Rate by a quarter-point on Thursday, although they have failed to provide any particular support to the Pound.
Technical Analysis: Bearish strength fades, but recovery remains frail so far
EUR/GBP trades at 0.8356, hovering in a neutral near-term stance with Euro bulls still capped below a previous support level. The 4-hour Relative Strength Index (14) near 50 points to balanced momentum after recovering from oversold territory, while the Moving Average Convergence Divergence (MACD) inches back above zero with a marginally positive reading, hinting at a modest stabilization rather than a decisive trend.
Bulls should break the mentioned 0.8360 level to give a chance for a deeper recovery. In that case, the October 28 high at 0.8380 might offer some resistance, although the key level to confirm a trend shift would be the October 26 high, near 0.8400.
Failure to extend beyond 0.8360, on the other hand, might reactivate bears to retest Friday's lows near 0,.8320, on their way to te late February 2025 higs, around 0.8300, and the key support area between 0.8220 and 0.8240 (December 2024 and February 2025 lows)
(The technical analysis of this story was written with the help of an AI tool. Know more.)
Pound Sterling Price Today
The table below shows the percentage change of British Pound (GBP) against listed major currencies today. British Pound was the strongest against the Australian Dollar.
| USD | EUR | GBP | JPY | CAD | AUD | NZD | CHF | |
|---|---|---|---|---|---|---|---|---|
| USD | -0.46% | -0.20% | 0.22% | -0.00% | 0.30% | 0.13% | -0.63% | |
| EUR | 0.46% | 0.27% | 0.67% | 0.45% | 0.75% | 0.59% | -0.14% | |
| GBP | 0.20% | -0.27% | 0.45% | 0.19% | 0.49% | 0.32% | -0.40% | |
| JPY | -0.22% | -0.67% | -0.45% | -0.21% | 0.07% | -0.10% | -0.85% | |
| CAD | 0.00% | -0.45% | -0.19% | 0.21% | 0.31% | 0.12% | -0.59% | |
| AUD | -0.30% | -0.75% | -0.49% | -0.07% | -0.31% | -0.17% | -0.89% | |
| NZD | -0.13% | -0.59% | -0.32% | 0.10% | -0.12% | 0.17% | -0.71% | |
| CHF | 0.63% | 0.14% | 0.40% | 0.85% | 0.59% | 0.89% | 0.71% |
The heat map shows percentage changes of major currencies against each other. The base currency is picked from the left column, while the quote currency is picked from the top row. For example, if you pick the British Pound from the left column and move along the horizontal line to the US Dollar, the percentage change displayed in the box will represent GBP (base)/USD (quote).
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