EUR/GBP Price Analysis: Bears make a stride, cross in lows in over a week

Source Fxstreet
  • Technical indicators send signals of the bulls weakening, with the RSI in oversold territory and the MACD showing decreasing green bars.
  • The 20-day SMA support is now gone.

Wednesday’s EUR/GBP market has been dominated by significant losses, extending a bearish trend that has lasted the past seven trading sessions. This downward momentum has pushed the pair below its 20-day Simple Moving Average (SMA) and down to its lowest point in over a week.

Technical indicators are presenting a nuanced outlook. The Relative Strength Index (RSI), which measures the strength or weakness of price movements, has dipped into negative territory and its downward trajectory indicates a rise in selling pressure. The RSI's current value of 45 places it in the negative zone. The Moving Average Convergence Divergence (MACD), a trend-following indicator, displays decreasing green histogram bars. This suggests that buying pressure is waning.

The EUR/GBP cross plunged and lost the 20-day Simple Moving Average (SMA), indicating a potential downward trend. This decline pushed the cross to its lowest point in over a week, further suggesting a bearish sentiment. Supports now line up at 0.8330, 0.8315 and 0.8300.

EUR/GBP daily chart

Disclaimer: For information purposes only. Past performance is not indicative of future results.
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
12 hours ago
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
21 hours ago
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. 
placeholder
When Will the Gold Dilemma Be Resolved? Breakdown of US-Iran Negotiations Puts Gold Prices Under Pressure Again, Can It Return to $5,000? Spot gold broke below the $4,700 level during the Asian trading session on May 11, dropping as low as $4,678. As of press time, it was trading at $4,670, in stark contrast to three days a
Author  TradingKey
Yesterday 10: 31
Spot gold broke below the $4,700 level during the Asian trading session on May 11, dropping as low as $4,678. As of press time, it was trading at $4,670, in stark contrast to three days a
placeholder
Hormuz Latest. Trump Rejects Iran Peace Plan; WTI Crude Hits $100 Again International oil prices surged in early Asian trading after U.S. President Trump and Iran rejected each other's latest long-term peace proposals. Both major crude oil futures rose by mor
Author  TradingKey
Yesterday 02: 45
International oil prices surged in early Asian trading after U.S. President Trump and Iran rejected each other's latest long-term peace proposals. Both major crude oil futures rose by mor
placeholder
Gold slumps below $4,700 on Trump rejection of Iran peace proposalGold price (XAU/USD) falls to around $4,690 during the early Asian session on Monday. The precious metal attracts some sellers after US President Donald Trump rejected Iran’s latest peace offer to end the 10-week conflict choking the Strait of Hormuz, fanning inflation fears. 
Author  FXStreet
Yesterday 01: 55
Gold price (XAU/USD) falls to around $4,690 during the early Asian session on Monday. The precious metal attracts some sellers after US President Donald Trump rejected Iran’s latest peace offer to end the 10-week conflict choking the Strait of Hormuz, fanning inflation fears. 
Related Instrument
goTop
quote