EUR/GBP Price Analysis: Bear keep reins below 0.8610 key hurdle
|- EUR/GBP consolidates recent losses inside a choppy range.
- Oversold RSI probes sustained downside break of short-term key HMAs, support lines.
- May’s low can lure bears below monthly bottom.
EUR/GBP holds lower ground near 0.8590, following its heaviest drop in two weeks the previous day.
In doing so, the cross-currency pair keeps key HMA breakdown, not to forget short-term support line break, amid oversold RSI conditions during Friday’s Asian session.
The RSI normalization could portray a corrective pullback towards the previous support lines surrounding 0.8600. However, any further upside will be tested by a convergence of 100 and 200-HMA near 0.8610.
Also acting as the upside filter is early Thursday’s low near 0.8620 and Tuesday’s top close to 0.8630.
Meanwhile, bears could re-enter below the latest swing low of 0.8586 to target the monthly bottom around 0.8565.
It’s worth noting that EUR/GBP weakness past-0.8565 will be challenged by the last month’s bottom of 0.8560 before directing bears to the mid-March lows around 0.8530.
Overall, EUR/GBP remains on the back foot and appealing for the sellers.
EUR/GBP hourly chart
Trend: Further losses expected
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.