- EUR/GBP remains muted in the European session on Tuesday.
- Price moves in a broader trading range of 0.8530 and 0.8600.
- Momentum oscillators hold onto the overbought zone warns against aggressive bets.
EUR/GBP edges lower while extending the previous session’s downside momentum. The pair confides in a very tight trade band.
At the time of writing, EUR/GBP is trading at 0.8533, down 0.03% for the day.
EUR/GBP daily chart
-637671957265561350.png)
On the daily chart, the EUR/GBP cross has been trading in a broader trading range of 0.8530 and 0.8600, which constitutes a rectangle technical formation starting from August 19.
Currently, the price moves along with the lower trendline of the mentioned rectangle price pattern.
A break of the formation on the lower side would ignite heavy sell-off in the pair with the first downside target appears at the previous day low of 0.8510.
In doing so, EUR/GBP bears would then make a way to reach the 0.8495 horizontal resistance level.
The Moving Average Convergence Divergence (MACD) indicator trades in the overbought zone. Any downtick in the MACD would encourage bears to retest the low made on August 12 at 0.8455.
Alternatively, if price moves higher in that case, the bulls would meet the first upside target at the 50-day Simple Moving Average (SMA) at 0.8546.
Next, EUR/GBP bulls would aim at the 0.8560 horizontal support level followed by a September 9 high of 0.8588.
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
USD/JPY jumps above 156.00 on BoJ's steady policy
USD/JPY has come under intense buying pressure, surging past 156.00 after the Bank of Japan kept the key rate unchanged but tweaked its policy statement. The BoJ maintained its fiscal year 2024 and 2025 core inflation forecasts, disappointing the Japanese Yen buyers.
AUD/USD consolidates gains above 0.6500 after Australian PPI data
AUD/USD is consolidating gains above 0.6500 in Asian trading on Friday. The pair capitalizes on an annual increase in Australian PPI data. Meanwhile, a softer US Dollar and improving market mood also underpin the Aussie ahead of the US PCE inflation data.
Gold price flatlines as traders look to US PCE Price Index for some meaningful impetus
Gold price lacks any firm intraday direction and is influenced by a combination of diverging forces. The weaker US GDP print and a rise in US inflation benefit the metal amid subdued USD demand. Hawkish Fed expectations cap the upside as traders await the release of the US PCE Price Index.
Stripe looks to bring back crypto payments as stablecoin market cap hits all-time high
Stripe announced on Thursday that it would add support for USDC stablecoin, as the stablecoin market exploded in March, according to reports by Cryptocompare.
US economy: Slower growth with stronger inflation
The US Dollar strengthened, and stocks fell after statistical data from the US. The focus was on the preliminary estimate of GDP for the first quarter. Annualised quarterly growth came in at just 1.6%, down from the 2.5% and 3.4% previously forecast.