EUR/GBP Price Analysis: Off weekly support to pierce 0.8600, focus on Brexit battle in London


  • EUR/GBP posts the heaviest intraday gains in over a week.
  • Bulls aim for two-week-old resistance line amid upbeat MACD signals.
  • Short-term horizontal region, 200-SMA act as extra filters.

EUR/GBP refreshes intraday high while taking the bids near 0.8605, up 0.08% on a day, heading into Wednesday’s European session. The cross-currency pair dropped to 0.8596 early in Asia before bouncing off an ascending support line from Friday.

The recovery moves take clues from bullish MACD to direct the pair buyers toward a downward sloping trend line from May 25, near 0.8615. However, any further upside will need validation from the 200-SMA level of 0.8631.

In a case where the EUR/GBP bulls keep reins beyond 0.8630, the monthly top near 0.8645 and the late May’s peak surrounding 0.8670 will be in focus.

On the flip side, the aforementioned support line close to 0.8595 can restrict short-term declines of the pair ahead of a horizontal region comprising multiple lows marked since May 27, near 0.8580.

Should the EUR/GBP downside extends below 0.8580, the 0.8565-60 zone comprising the monthly low and May’s bottom becomes the key.

It’s worth mentioning that a meeting between the European Union's (EU) Maroš Šefčovič, European Commission Vice President and UK’s David Frost in London probes the sterling buyers of late.

Read: GBP/USD edges higher towards 1.4200, crunch Brexit talks before G7 eyed

EUR/GBP four-hour chart

Trend: Further recovery expected

Additional important levels

Overview
Today last price 0.8606
Today Daily Change 0.0006
Today Daily Change % 0.07%
Today daily open 0.86
 
Trends
Daily SMA20 0.8609
Daily SMA50 0.863
Daily SMA100 0.8658
Daily SMA200 0.8846
 
Levels
Previous Daily High 0.8627
Previous Daily Low 0.8594
Previous Weekly High 0.8646
Previous Weekly Low 0.8566
Previous Monthly High 0.8711
Previous Monthly Low 0.8561
Daily Fibonacci 38.2% 0.8615
Daily Fibonacci 61.8% 0.8607
Daily Pivot Point S1 0.8587
Daily Pivot Point S2 0.8574
Daily Pivot Point S3 0.8554
Daily Pivot Point R1 0.862
Daily Pivot Point R2 0.864
Daily Pivot Point R3 0.8653

 

 

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