EUR/GBP Price Analysis: Drops to near three-week lows, below mid-0.8800s


  • EUR/GBP remained depressed for the sixth straight session on Tuesday.
  • The technical set-up support prospects for an extension of the downfall.

The EUR/GBP cross extended its recent sharp pullback from multi-year tops and witnessed some follow-through selling for the sixth consecutive session.

The downtick, also marking its eighth day of a negative move in the previous nine, extended further below the 50% Fibonacci level of 0.8282-0.9500 upsurge.

This comes on the back of the recent break below a descending triangle on short-term charts and supports prospects for an extension of the bearish trajectory.

Meanwhile, technical indicators on the daily chart have just started gaining negative momentum and further add credence to the pair's negative outlook.

Hence, a further near-term downfall, towards testing the 0.8800 mark en-route 1.8% Fibo. support near the 0.8740 region, now looks a distinct possibility.

However, oscillators on the 1-hourly chart are already flashing slightly oversold conditions and warrant some caution before placing aggressive bearish bets.

EUR/GBP 4-hourly chart

fxsoriginal

Technical levels to watch

EUR/GBP

Overview
Today last price 0.8847
Today Daily Change -0.0049
Today Daily Change % -0.55
Today daily open 0.8896
 
Trends
Daily SMA20 0.8976
Daily SMA50 0.8653
Daily SMA100 0.8583
Daily SMA200 0.8754
 
Levels
Previous Daily High 0.8988
Previous Daily Low 0.8866
Previous Weekly High 0.9388
Previous Weekly Low 0.8905
Previous Monthly High 0.8644
Previous Monthly Low 0.8282
Daily Fibonacci 38.2% 0.8913
Daily Fibonacci 61.8% 0.8942
Daily Pivot Point S1 0.8845
Daily Pivot Point S2 0.8795
Daily Pivot Point S3 0.8723
Daily Pivot Point R1 0.8967
Daily Pivot Point R2 0.9038
Daily Pivot Point R3 0.9089

 

 

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