EURGBP at key level but with ominous EMAs pattern
The EURGBP is sitting at a key support level (red shaded horizontal). This level has held multiple times and is deemed strong. However, the green 5-day EMA is below the orange 13-day EMA, and the orange 13-day is below the black 34-day EMA. Importantly all three EMAs have turned down, which is bearish. The RSI(9) is below 50 and confirms this bearishness. If the red shaded horizontal fails to hold, the EURGBP will be in a precarious position indeed. The chart reflects the relative strength between the BOE and ECB in terms of hawkishness which may be the catalyst that ultimately causes this support level to fold.
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