EUR/GBP Price Analysis: Sellers hit the gas and take further ground

Source Fxstreet
  • EUR/GBP weakens further, and buying pressure continues to retreat.
  • The RSI is moving dangerously near the oversold threshold.
  • The 0.8380 presents a strong barrier against the sellers.

In Friday's session, the EUR/GBP pair continued to decline, losing 0.15% to close at 0.8385. The bearish outlook persists, as selling pressure intensifies and technical indicators signal a negative trend.

Looking at the technical outlook, the Relative Strength Index (RSI) has fallen to 35, moving deeper into the negative area. This sharp decline indicates that selling pressure is rising. Furthermore, the Moving Average Convergence Divergence (MACD) histogram remains red and rising, also suggesting increasing bearish momentum. 

EUR/GBP daily chart

Based on the current technical picture, the EUR/GBP pair is likely to continue its downward trajectory. Support levels can be found at 0.8380, 0.8350, and 0.8330. If the pair breaks below 0.8380, it could signal a deeper decline toward 0.8350. Resistance levels can be found at 0.8420 (20-day Simple Moving Average (SMA)), 0.8430, and 0.8440. A break above 0.8440 could indicate a potential trend reversal.

Overall, the technical indicators and recent price action suggest that the bearish momentum is likely to continue in the short term. As bears point their cannons towards 0.8380, a break below would mark a fresh yearly low, which would confirm a bearish outlook.

 

Disclaimer: For information purposes only. Past performance is not indicative of future results.
placeholder
Gold edges higher to near $4,700 as Trump-Xi summit loomsGold price (XAU/USD) trades in positive territory near $4,700 during the early Asian session on Thursday. The precious metal edges higher as markets turn cautious ahead of the US President Donald Trump-Chinese President Xi Jinping summit in Beijing.
Author  FXStreet
19 hours ago
Gold price (XAU/USD) trades in positive territory near $4,700 during the early Asian session on Thursday. The precious metal edges higher as markets turn cautious ahead of the US President Donald Trump-Chinese President Xi Jinping summit in Beijing.
placeholder
Inflation 'High Fever' Fails to Stop Rally? BTC Temporarily Loses 80,000 Mark, But Arthur Hayes Sees Peak of $126,000CPI data exceeding expectations triggered Bitcoin's drop below $80,000, yet the BitMEX co-founder remains firmly bullish on BTC.On May 13, Bitcoin ( BTC) prices experienced a correction f
Author  TradingKey
Yesterday 10: 20
CPI data exceeding expectations triggered Bitcoin's drop below $80,000, yet the BitMEX co-founder remains firmly bullish on BTC.On May 13, Bitcoin ( BTC) prices experienced a correction f
placeholder
US President Donald Trump says trade will be priority in summit with Xi, not IranUS President Donald Trump said that he would prioritize trade discussions during his summit with Chinese President Xi Jinping and downplayed the amount of attention they would devote to the Iran war, Bloomberg reported on Tuesday.
Author  FXStreet
Yesterday 01: 22
US President Donald Trump said that he would prioritize trade discussions during his summit with Chinese President Xi Jinping and downplayed the amount of attention they would devote to the Iran war, Bloomberg reported on Tuesday.
placeholder
AI Boom Lifts US Stocks, Strategist Sees S&P Breaking 10,000 in Three Years, How Much Longer Can This Rally Last? U.S. stocks closed at record highs again on Monday; despite growing concerns that a prolonged conflict in Iran through the summer could trigger severe economic consequences, the rally rem
Author  TradingKey
May 12, Tue
U.S. stocks closed at record highs again on Monday; despite growing concerns that a prolonged conflict in Iran through the summer could trigger severe economic consequences, the rally rem
placeholder
Gold drifts higher to near $4,750 ahead of US CPI inflation releaseGold price (XAU/USD) trades in positive territory around $4,750 during the early Asian session on Tuesday. The precious metal edges higher as traders assess developments in the United States (US)-Iran diplomacy and await key US inflation data, which is due later on Tuesday. 
Author  FXStreet
May 12, Tue
Gold price (XAU/USD) trades in positive territory around $4,750 during the early Asian session on Tuesday. The precious metal edges higher as traders assess developments in the United States (US)-Iran diplomacy and await key US inflation data, which is due later on Tuesday. 
Related Instrument
goTop
quote