EUR/GBP Price Analysis: Consolidation on as the pair awaits directional cues

Source Fxstreet
  • The EUR/GBP cross faced rejection at the crucial 100-day SMA last week, signaling a potential shift in trend.
  • The cross might sideways within a range defined by the 100-day SMA and the 20-day SMA providing support.

The EUR/GBP cross has been exhibiting a sideways trend in recent trading sessions, consolidating within a narrow range. This consolidation phase is likely to continue until a decisive breakout occurs in either direction, providing further guidance on the cross's future trajectory. On Tuesday de cross mildly declined towards the 0.8380 area.

The Relative Strength Index (RSI) is at 55 indicating that buying pressure is declining as is in the positive area and has a mildly declining slope. The Moving Average Convergence Divergence (MACD) is green and decreasing, also suggesting that bullish momentum is waning. 

Overall, the technical indicators suggest that the EUR/GBP cross is in a neutral phase, with both bullish and bearish forces vying for control. A breakout from the current range between the 20 and 100-day Simple Moving Average (SMA) will provide further clarity on the cross's future direction. With some signs of bearish forces emerging, the 20-day SMA at 0.8350 might be set to recieve a visit in the near term.

EUR/GBP daily chart

 

Disclaimer: For information purposes only. Past performance is not indicative of future results.
placeholder
Crude Oil Price Forecast: Escalating US-Iran Tanker Attacks and Strait of Hormuz Risks Push Brent to $120? International oil prices continued to climb on Monday, extending their strong performance from the previous week.As military confrontations between the U.S. and Iran heat up again in and
Author  TradingKey
7 hours ago
International oil prices continued to climb on Monday, extending their strong performance from the previous week.As military confrontations between the U.S. and Iran heat up again in and
placeholder
Hot August jobs report reignites Fed-hike bets; S&P 500 slips below 7,700 — what to watch before the September FOMCAugust nonfarm payrolls surged to 162,000, three times the consensus, pushing CME FedWatch odds of a September 25-bp hike to 58.4% and dragging the S&P 500 below 7,700. CPI, PPI and the Sept 15-16 FOMC decision now set the tone for US stocks.
Author  Irene Q.
11 hours ago
August nonfarm payrolls surged to 162,000, three times the consensus, pushing CME FedWatch odds of a September 25-bp hike to 58.4% and dragging the S&P 500 below 7,700. CPI, PPI and the Sept 15-16 FOMC decision now set the tone for US stocks.
placeholder
Today’s Market Recap: Nonfarm Payrolls Far Exceed Expectations, Fed Rate Hike Expectations Heat Up, Micron Surges 6% Against the Trend, SanDisk Jumps Over 10%Tracking Market TrendsTradingKey - On September 4, Eastern Time, the three major US stock indices closed lower across the board. US August non-farm payrolls data far exceeded market expectations, rein
Author  TradingKey
16 hours ago
Tracking Market TrendsTradingKey - On September 4, Eastern Time, the three major US stock indices closed lower across the board. US August non-farm payrolls data far exceeded market expectations, rein
placeholder
Top 3 Price Prediction: Bitcoin, Ethereum, Ripple – BTC, ETH and XRP await US NFP for next directional moveBitcoin (BTC), Ethereum (ETH) and Ripple (XRP) extend their weekly gains on Friday as traders await the US Nonfarm Payrolls (NFP) report for the next directional catalyst.
Author  FXStreet
Sep 04, Fri
Bitcoin (BTC), Ethereum (ETH) and Ripple (XRP) extend their weekly gains on Friday as traders await the US Nonfarm Payrolls (NFP) report for the next directional catalyst.
placeholder
Yen hits one-month high on BOJ September-hike bets; AUD/JPY cracks support as carry unwindsUSD/JPY has tumbled from the 160 area to a one-month low near 155.2 in two sessions as Bank of Japan hike bets for the Sept 17-18 meeting intensify. AUD/JPY has broken below 112.7, flagging carry-trade stress. A test of 155.21 - and then 153 - is now in focus.
Author  Suzie
Sep 04, Fri
USD/JPY has tumbled from the 160 area to a one-month low near 155.2 in two sessions as Bank of Japan hike bets for the Sept 17-18 meeting intensify. AUD/JPY has broken below 112.7, flagging carry-trade stress. A test of 155.21 - and then 153 - is now in focus.
Related Instrument
goTop
quote