EUR/GBP Price Analysis: 4H shows a falling wedge pattern
|EUR/GBP's decline from December highs above 0.92 to the recent low of 0.8796 has taken the shape of a falling wedge pattern comprising trendlines connecting lower highs and lower lows. The trendlines, however, are converging in nature and represents a steady weakening of bearish momentum.
As such, a potential breakout would imply a bearish-to-bullish trend change. At press time, the upper end of the falling wedge is seen at 0.8832. A close higher would confirm a breakout and expose resistance at 0.8884 (lower high created on Jan. 28).
The pair is currently trading mostly unchanged on the day near 0.8810.
4-hour chart
Trend: Bullish above wedge resistance
Technical levels
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers.