EUR/GBP Price Analysis: Looks set for further downside towards 0.8300

EUR/GBP remains pressured around 23-month low, seesaws near intraday bottom of late.
Weekly support line can test bears before directing them to 61.8% FE.
Horizontal area from last Monday, 200-HMA challenges buyers.
Bearish MACD signals, failures to stay beyond 100-HMA favor sellers.

Anil Panchal FXStreet

EUR/GBP fades bounce off intraday low near 0.8340 heading into Monday’s European session.

In doing so, the cross-currency pair extends Friday’s breakdown of the 100-HMA amid bearish MACD signals.

That said, the latest weakness eyes an upward sloping trend line from the last Wednesday, near 0.8338, before retesting the multi-day low marked on January 05, around 0.8335.

It’s worth noting that the quote’s weakness past 0.8335 will make it vulnerable to test the 61.8% Fibonacci Expansion (FE) of January 01-06 moves, near 0.8315. Following that, the year 2020 bottom surrounding 0.8280 will be crucial to watch.

Meanwhile, 100-DMA and one-week-old horizontal area, respectively near 0.8352 and 0.8372, restrict the quote’s short-term advances.

Even if the EUR/GBP prices rally beyond 0.8372, the 200-HMA level of 0.8375 and November’s low of 0.8380 will act as extra upside filters before activating a corrective pullback that can target the 0.8400 threshold.

EUR/GBP: Four-hour chart

Trend: Further weakness expected

Additional important levels

Overview
Today last price	0.8344
Today Daily Change	-0.0013
Today Daily Change %	-0.16%
Today daily open	0.8357

Trends
Daily SMA20	0.8441
Daily SMA50	0.8472
Daily SMA100	0.8501
Daily SMA200	0.8546

Levels
Previous Daily High	0.8366
Previous Daily Low	0.8337
Previous Weekly High	0.8419
Previous Weekly Low	0.8335
Previous Monthly High	0.86
Previous Monthly Low	0.8368
Daily Fibonacci 38.2%	0.8355
Daily Fibonacci 61.8%	0.8348
Daily Pivot Point S1	0.8341
Daily Pivot Point S2	0.8325
Daily Pivot Point S3	0.8312
Daily Pivot Point R1	0.8369
Daily Pivot Point R2	0.8382
Daily Pivot Point R3	0.8398

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.

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