EUR/GBP erases gains, back near monthly lows under 0.8550

EUR/GBP remains sideways supported by 0.8530.
Bias points to the downside while under 0.8630.

Matías Salord FXStreet

The EUR/GBP erased gains and dropped back under 0.8550. Earlier on Monday it climbed to 0.8566 and lost momentum after the beginning of the American session.

As of writing, EUR/GBP stands at 0.8545, around the same level it closed on Friday. The improvement in market sentiment in Wall Street, weakened the US dollar and pushed the cross to the downside.

Brexit and COVID-19 concerns keep the pound limited for the moment. Discussions about UK’s Brexit bill continue without agreement while at the same time, covid cases rose to monthly highs.

Range prevails, risks tilted to the downside

The EUR/GBP continues to move sideways in a range. Price again was rejected from above 0.8600 while to the downside the barrier at 0.8530/40 remains intact.

Risks are likely to remains on the downside while under 0.8630, favoring (slightly) a break under the 0.8530 area that will expose 0.8500; below attention would turn to 0.8470 (April low).

Technical levels

EUR/GBP

Overview
Today last price	0.8543
Today Daily Change	0.0001
Today Daily Change %	0.01
Today daily open	0.8542

Trends
Daily SMA20	0.8575
Daily SMA50	0.8602
Daily SMA100	0.861
Daily SMA200	0.8788

Levels
Previous Daily High	0.8597
Previous Daily Low	0.8539
Previous Weekly High	0.8618
Previous Weekly Low	0.8536
Previous Monthly High	0.8646
Previous Monthly Low	0.8531
Daily Fibonacci 38.2%	0.8561
Daily Fibonacci 61.8%	0.8575
Daily Pivot Point S1	0.8522
Daily Pivot Point S2	0.8502
Daily Pivot Point S3	0.8464
Daily Pivot Point R1	0.858
Daily Pivot Point R2	0.8617
Daily Pivot Point R3	0.8637

Author

Matías Salord

FXStreet

Matías started in financial markets in 2008, after graduating in Economics. He was trained in chart analysis and then became an educator. He also studied Journalism. He started writing analyses for specialized websites before joining FXStreet.

EUR/USD: Gains remain capped by 1.1650

EUR/USD remains in recovery-mode following the closing bell in Euroland on Wednesday, hovering around the 1.1650 zone amid renewed downside pressure on the US Dollar and a marginal improvement in the global sentiment.

GBP/USD appears bid around 1.3370

GBP/USD reverses part of its recent multi-day decline, gathering some balance and managing to reach the 1.3400 region, where some initial resistance seems to have turned up. Cable’s uptick comes in response to some loss of momentum in the Greenback despite the geopolitical scenario remaining fragile.

Gold recovers modestly despite intensifying Middle East crisis

Gold keeps its daily gains well in place, although a break above the $5,200 mark per troy ounce still remains elusive on Wednesday. The yellow metal’s rebound comes in response to the persistent flight-to-safety amid intense geopolitical tensions in the Middle East and the bearish performance of the US Dollar.