EUR/GBP Price Analysis: Bearish outlook persists, pair continues sideways trading

A bearish outlook remains, with RSI below 50 and MACD.
Selling pressure is declining, indicated by decreasing red MACD bars.

Patricio Martín FXStreet

In Tuesday's session, the EUR/GBP pair mildly rose to 0.8440 and is showing that the technical outlook remains mixed. Bears seem to be taking a breather after shedding more than 1% in August, but the overall technical outlook is still pointing at a bearish market.

The Relative Strength Index (RSI) remains in negative territory, around 44, with a mildly neutral slope, signaling flattening bearish momentum. The Moving Average Convergence Divergence (MACD) prints decreasing red bars, further reinforcing the flattening bearish traction.

The EUR/GBP pair continues consolidating above 0.8400, which serves as immediate support following the sharp declines in August. Resistance is found at 0.8440, and a break above this level could lead to further gains towards 0.8450 and 0.8470.

EUR/GBP daily chart

Author

Patricio Martín

FXStreet

Patricio is an economist from Argentina passionate about global finance and understanding the daily movements of the markets.

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