The cross dips below 0.90 handle (reinforced by rising 10DMA) as pound was inflated by strong UK retail sales data and the single currency got hurt by renewed political turmoil in Italy.

Bulls also showed signs of stall on Wednesday’s Doji candle, with today’s fresh weakness being on track to complete reversal pattern on daily chart.

Weaker momentum and south-turning stochastic and RSI support scenario, which would require close below 0.90 level as initial negative signal.

Extension below 20DMA (0.8971) and 30DMA (0.8948) is needed to confirm reversal and shift focus lower.

Conversely, holding above 0.90 handle would keep bullish bias intact, with narrow consolidation seen preceding fresh attempts higher.

Res: 0.9009; 0.9038; 0.9050; 0.9087
Sup: 0.8971; 0.8948; 0.8920; 0.8872

EURGBP

The information contained in this document was obtained from sources believed to be reliable, but its accuracy or completeness cannot be guaranteed. Any opinions expressed herein are in good faith, but are subject to change without notice. No liability accepted whatsoever for any direct or consequential loss arising from the use of this document.

Analysis feed

Latest Forex Analysis

Editors’ Picks

EUR/USD drops below 1.11 amid upbeat US data, trade concerns

EUR/USD is trading below 1.11 after robust US housing figures and solid consumer sentiment figures were published. Earlier, the common currency suffered from the concerns of new US tariffs on the EU.

EUR/USD News

GBP/USD down 100 pips after UK retail sales badly disappoint, amid USD strength

GBP/USD has plunged below 1.3050 after UK retail sales badly disappointed with a fall of 0.6% in December, on top of downward revisions. Odds of a BOE cut have risen.

GBP/USD News

Crypto market hyperspace mode On

The secondary actors of the crypto-sphere awaken and rally hard. Leading coins battle with greater resistance at the gates of a full bullish market. The only risk is an over-shoot, but that sentiment remains neutral.

Read more

Gold: Sustained move beyond 200-hour SMA sets the stage for further gains

Gold edged higher through the mid-European session on Friday and is currently placed near the top end of its weekly trading range, around the $1560 region.

Gold News

USD/JPY: Losing bullish momentum but retaining gains

Chinese encouraging data kept markets in risk-on mode at the beginning of the day. The US January Michigan Consumer Sentiment Index is seen at 99.3, matching December figure. USD/JPY holding at the upper end of its weekly range could correct lower.

USD/JPY News

Forex Majors

Cryptocurrencies

Signatures