EUR/GBP Price Analysis: Bears retake controls below 0.8500
|- EUR/GBP reverses Friday’s corrective pullback, refreshes intraday low.
- 20-SMA, weekly resistance line guards immediate upside.
- RSI conditions suggest limit for the bears around yearly low.
EUR/GBP takes offers to refresh intraday low around 0.8485, down 0.10% on a day during early Monday.
The cross-currency pair benefited from the oversold RSI conditions during the last week while bouncing off the two-month low.
However, a short-term descending trend line and 20-SMA triggered the quote’s fresh pullback towards the multi-day low of 0.8474.
In a case where the EUR/GBP bears refrain from following the RSI signals, the yearly low marked in August around 0.8450 will be in focus.
Meanwhile, a two-month-long horizontal line joins the stated falling trend line and 20-SMA to restrict short-term EUR/GBP rebound below the 0.8500 threshold.
Should the quote crosses 0.8500, the 61.8% Fibonacci retracement of August-September upside near 0.8530 should lure the bulls.
EUR/GBP: Four-hour chart
Trend: Bearish
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