- EUR/GBP remains muted in the Asian session on Tuesday.
- Price moves in a broader trading range of 0.8500 and 0.8600.
- Momentum oscillators trade with positive bias.
EUR/GBP trades mildly lower following the previous session’s splendid gains. The pair hovers in a very narrow trade band with no meaningful traction. At the time of writing, EUR/GBP is trading at 0.8585, down 0.02% for the day.
EUR/GBP daily chart
-637677824982212150.png)
On the daily chart, the EUR/GBP cross-currency pair has been trading in a broader trading range of 0.8500 and 0.8600, which constitutes a rectangle technical formation starting from August 19.
Currently, the price moves along with the higher trendline of the mentioned rectangle price pattern.
A break of the formation on the higher side would ignite a fresh round of buying pressure in the pair with the first upside target appearing at the 0.8620 horizontal resistance level. In doing so, EUR/GBP bulls would then make a way to reach the 0.8640 horizontal resistance level.
The Moving Average Convergence Divergence (MACD) indicator trades above the midline with a bullish crossover. Any uptick in the MACD would encourage bulls to retest the high made in the month of July at 0.8669 (July 20).
Alternatively, if the price moves lower in that case, the bears would meet the 20-day Simple Moving Average (SMA) at 0.8565. Next, EUR/GBP bears would aim at the previous day’s low of 0.8532 followed by the lower trendline of the channel at 0.8500.
EUR/GBP additional levels
Note: All information on this page is subject to change. The use of this website constitutes acceptance of our user agreement. Please read our privacy policy and legal disclaimer. Opinions expressed at FXstreet.com are those of the individual authors and do not necessarily represent the opinion of FXstreet.com or its management. Risk Disclosure: Trading foreign exchange on margin carries a high level of risk, and may not be suitable for all investors. The high degree of leverage can work against you as well as for you. Before deciding to invest in foreign exchange you should carefully consider your investment objectives, level of experience, and risk appetite. The possibility exists that you could sustain a loss of some or all of your initial investment and therefore you should not invest money that you cannot afford to lose. You should be aware of all the risks associated with foreign exchange trading, and seek advice from an independent financial advisor if you have any doubts.
Recommended content
Editors’ Picks
EUR/USD edges lower toward 1.0700 post-US PCE
EUR/USD stays under modest bearish pressure but manages to hold above 1.0700 in the American session on Friday. The US Dollar (USD) gathers strength against its rivals after the stronger-than-forecast PCE inflation data, not allowing the pair to gain traction.
GBP/USD retreats to 1.2500 on renewed USD strength
GBP/USD lost its traction and turned negative on the day near 1.2500. Following the stronger-than-expected PCE inflation readings from the US, the USD stays resilient and makes it difficult for the pair to gather recovery momentum.
Gold struggles to hold above $2,350 following US inflation
Gold turned south and declined toward $2,340, erasing a large portion of its daily gains, as the USD benefited from PCE inflation data. The benchmark 10-year US yield, however, stays in negative territory and helps XAU/USD limit its losses.
Bitcoin Weekly Forecast: BTC’s next breakout could propel it to $80,000 Premium
Bitcoin’s recent price consolidation could be nearing its end as technical indicators and on-chain metrics suggest a potential upward breakout. However, this move would not be straightforward and could punish impatient investors.
Week ahead – Hawkish risk as Fed and NFP on tap, Eurozone data eyed too
Fed meets on Wednesday as US inflation stays elevated. Will Friday’s jobs report bring relief or more angst for the markets? Eurozone flash GDP and CPI numbers in focus for the Euro.