EUR/GBP Price Analysis: Finds support from two major Moving Averages

Source Fxstreet
  • EUR/GBP has declined to support from a cluster of Moving Averages. 
  • The pair has reached a pivotal level within a range that has been unfolding since January.
  • In the absence of any bullish signs it could continue falling to the range floor as the sideways trend extends. 

EUR/GBP has continued falling within a multi-month range that began in January 2024. 

The pair has declined to support from two major moving averages – the 50 and 100-day Simple Moving Averages (SMA) – situated at 0.8566-67. 

EUR/GBP Daily Chart 

The Moving Average Convergence Divergence (MACD) indicator has crossed below its red signal line, providing further bearish evidence suggesting EUR/GBP could continue descending within its range/channel.  

Given the bearish tone of the charts, EUR/GBP could now break below the support from the SMAs and continue falling to the range low at circa 0.8540. 

There is also a possibility, however, that EUR/GBP could recover from support at the SMAs. If so, it could start rising to the ceiling of the range at 0.8600. At the moment, however, there is no indication from price action that such a bullish short-term reversal is underway. 

 

Disclaimer: For information purposes only. Past performance is not indicative of future results.
placeholder
Forex Today: Mideast uncertainty keeps USD supported ahead of next batch of US dataHere is what you need to know on Tuesday, August 4:
Author  FXStreet
6 hours ago
Here is what you need to know on Tuesday, August 4:
placeholder
WTI trades with positive bias below mid-$79.00s on Iran uncertainty, supply concernsWest Texas Intermediate (WTI) – the benchmark US Crude Oil price – edges higher during the Asian session on Tuesday and looks to build on the overnight bounce following an intraday slump to levels below mid-$77.00s.
Author  FXStreet
14 hours ago
West Texas Intermediate (WTI) – the benchmark US Crude Oil price – edges higher during the Asian session on Tuesday and looks to build on the overnight bounce following an intraday slump to levels below mid-$77.00s.
placeholder
Bitcoin Falls Below $63,000; Can US-Iran Negotiations Reverse the Downtrend?Bitcoin fell sharply last week, testing the short-term defense line at $62,000, with the outcome of US-Iran negotiations becoming a key factor.On August 3, Bitcoin ( BTC) extended its rec
Author  TradingKey
Yesterday 08: 59
Bitcoin fell sharply last week, testing the short-term defense line at $62,000, with the outcome of US-Iran negotiations becoming a key factor.On August 3, Bitcoin ( BTC) extended its rec
placeholder
Oil Prices Sink as Much as 7% as Trump Pauses Iran Strikes and Restarts Talks International oil prices plunged during Asian trading hours on Monday. US President Donald Trump announced a suspension of a new round of military action against Iran and plans to restart
Author  TradingKey
Yesterday 06: 21
International oil prices plunged during Asian trading hours on Monday. US President Donald Trump announced a suspension of a new round of military action against Iran and plans to restart
placeholder
US President Donald Trump says Iran talks to begin Monday after canceling attackUS President Donald Trump said that fresh round of Iran talks would begin Monday after he cancelled a planned attack on Iran partially in response to pleas from US allies in the Middle East, including Saudi Arabia, Bloomberg reported on Monday.
Author  FXStreet
Yesterday 01: 32
US President Donald Trump said that fresh round of Iran talks would begin Monday after he cancelled a planned attack on Iran partially in response to pleas from US allies in the Middle East, including Saudi Arabia, Bloomberg reported on Monday.
Related Instrument
goTop
quote