EUR/GBP Price Analysis: Buyers attack 50-bar SMA ahead of UK jobs report
- EUR/GBP probes intraday top while defying the previous day’s downbeat momentum.
- MACD losses bullish bias, 100-bar SMA adds to the upside filters.
- Sellers will wait for a clear break of previous resistance line for entry.
EUR/GBP flirts with the intraday high of 0.8885 during early Tuesday. In doing so, the pair battles 50-bar SMA on the four-hour (4H) chart amid receding bullish signals from the MACD.
However, sellers are less likely to enter unless witnessing a clear downside break of a descending trend line from January 06, at 0.8860 now, not to forget waiting for the UK’s latest employment data.
Read: UK Jobs Preview: Another positive surprise? GBP/USD could use a shot in the arm
In a case where the quote successfully crosses the immediate 0.8885 hurdle, Friday top near 0.8920 and 100-bar SMA around 0.8945 will challenge the EUR/GBP buyers.
It should, however, be noted that the pair’s ability to cross 0.8945 enables it to revisit the early-month low near 0.8990 and the 0.9000 psychological magnet.
Alternatively, a downside break below 0.8860 will eye for the monthly low of 0.8830 and the 0.8800 round-figure during the further weakness.
Overall, EUR/GBP remains in a downtrend ahead of the key UK employment report.
EUR/GBP four-hour chart
Trend: Bearish
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.
