EUR/GBP Price Analysis: 100/200-HMA confluence restricts immediate downside below 0.9100
- EUR/GBP holds lower ground while keeping a downside break of short-term rising trend line.
- Weekly falling resistance line tests the bulls, bearish MACD favor sellers.
EUR/GBP wavers around 0.9090, down 0.05% intraday, while heading into Wednesday’s European open. The pair dropped below an ascending trend line from last Thursday but failed to extend the fall beneath 100 and 200-HMA.
Although strong HMAs challenge EUR/GBP sellers around 0.9088/85, bearish MACD and sustained trading below the previous support line, at 0.9115, keeps the bears hopeful.
Also acting as an upside barrier is a falling trend line from Monday, at 0.9126 now, as well as a short-term horizontal resistance around 0.9155.
Meanwhile, a downside break below the key SMAs will direct the EUR/GBP prices toward the 0.9000 round-figure before challenging the monthly low near 0.8930.
It should, however, be noted that multiple lows marked since June close to 0.8860/65 offer strong support to the pair past-0.8930.
EUR/GBP hourly chart
Trend: Further weakness expected
Author
Anil Panchal
FXStreet
Anil Panchal has nearly 15 years of experience in tracking financial markets. With a keen interest in macroeconomics, Anil aptly tracks global news/updates and stays well-informed about the global financial moves and their implications.
