EUR/GBP Price Analysis: Stays firmer above 0.8500 inside weekly bullish channel

EUR/GBP reverses the previous day’s pullback from two-week top.
Key SMAs challenge buyers inside bullish chart formation, RSI (14) hints at further upside.
Five-week-old trend line is the key hurdle, bears can refresh monthly low by breaking 0.8500.

Anil Panchal FXStreet

EUR/GBP grinds higher around 0.8530 as it refreshes its intraday top while reversing the previous day’s pullback from a fortnight high heading into Thursday’s European session.

In doing so, the cross-currency pair remains inside a weekly ascending trend channel while poking the 100-SMA.

Given the first RSI (14), not oversold, as well as the sustained trading inside the weekly bullish channel, the EUR/GBP prices are likely to remain firmer.

That said, the 100-SMA and the 200-SMA could restrict immediate upside moves around 0.8525 and 0.8555 in that order.

In a case where EUR/GBP manages to rise past 0.8555, it can aim for a downward sloping resistance line from June 15, around 0.8630 by the press time.

Alternatively, pullback moves need to defy the bullish channel pattern by breaking the 0.8500 support.

Following that, the recent low of 0.8403 and the May month low of 0.8393 will be crucial for the EUR/GBP bears to watch.

Overall, EUR/GBP is expected to keep the bullish bias intact but upside momentum could witness multiple hurdles.

EUR/GBP: Four-hour chart

Trend: Further recovery expected

Additional important levels

Overview
Today last price	0.8524
Today Daily Change	0.0028
Today Daily Change %	0.33%
Today daily open	0.8496

Trends
Daily SMA20	0.8538
Daily SMA50	0.8535
Daily SMA100	0.846
Daily SMA200	0.8443

Levels
Previous Daily High	0.854
Previous Daily Low	0.8493
Previous Weekly High	0.8514
Previous Weekly Low	0.8404
Previous Monthly High	0.8721
Previous Monthly Low	0.8486
Daily Fibonacci 38.2%	0.8511
Daily Fibonacci 61.8%	0.8522
Daily Pivot Point S1	0.8479
Daily Pivot Point S2	0.8463
Daily Pivot Point S3	0.8432
Daily Pivot Point R1	0.8527
Daily Pivot Point R2	0.8557
Daily Pivot Point R3	0.8574

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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