EUR/GBP Price Forecast: Euro dips to session lows sub-0.8720 in risk-off markets
- EUR/GBP dips to session lows below 0.8720 in risk-off markets.
- Risk-averse markets and high Oil prices are weighing on the Euro on Monday.
- The overbought RSI momentum indicator hints at a consolidation or a corrective pullback.
The Euro (EUR) rally against the British Pound (GBP) has been capped at 0.8730 on Monday, and the pair retreats to session lows sub-0.08720 at the time of writing. The broader bias remains positive, but the Euro is struggling amid a sour market sentiment and higher Oil prices, while political uncertainty is keeping the Pound from appreciating further.
Investors are wary of taking excessive risks on Monday, as tensions between the US and Iran flare again, and Oil prices escalate. The barrel of Brent Crude Oil stands near $110.00, and the US benchmark WTI trades above $100.00, adding pressure to the Eurozone’s Oil-importing economies.
In the UK, political uncertainty is rising, with Prime Minister Keir Starmer fighting for survival amid a race to replace him within the Labour Party, keeping the Pound’s upside attempts in check. Earlier on Monday, the Bank of England (BoE) Deputy Governor for Financial Stability, Sarah Breeden, warned about being “trigger-happy” with interest rates, which failed to support the GBP.
Technical Analysis: Euro bulls run out of gas
EUR/GBP maintains a constructive near-term bias, yet with upside attempts capped below 0.8730 for now. The 4-hour Relative Strength Index (RSI) has reached overbought levels after a 0.7% rally in the previous two days, and the Moving Average Convergence Divergence (MACD) histogram shows contracting bars, pointing to a fading bullish momentum.
Immediate resistance is at the mentioned session high near 0.8730, which is closing the path towards early April highs at the 0.8740 area. On the downside, a confirmation below session lows near 0.8720 will bring Friday´s low, at 0.8700, into focus. Further down, the next support area is the May 14 low near 0.8655.
(The technical analysis of this story was written with the help of an AI tool.)
Euro Price Today
The table below shows the percentage change of Euro (EUR) against listed major currencies today. Euro was the strongest against the Australian Dollar.
| USD | EUR | GBP | JPY | CAD | AUD | NZD | CHF | |
|---|---|---|---|---|---|---|---|---|
| USD | -0.04% | -0.10% | 0.06% | -0.01% | 0.18% | -0.08% | -0.07% | |
| EUR | 0.04% | -0.08% | 0.09% | 0.02% | 0.20% | -0.04% | -0.04% | |
| GBP | 0.10% | 0.08% | 0.17% | 0.09% | 0.28% | 0.02% | 0.04% | |
| JPY | -0.06% | -0.09% | -0.17% | -0.11% | 0.10% | -0.19% | -0.16% | |
| CAD | 0.00% | -0.02% | -0.09% | 0.11% | 0.20% | -0.07% | -0.05% | |
| AUD | -0.18% | -0.20% | -0.28% | -0.10% | -0.20% | -0.25% | -0.22% | |
| NZD | 0.08% | 0.04% | -0.02% | 0.19% | 0.07% | 0.25% | 0.02% | |
| CHF | 0.07% | 0.04% | -0.04% | 0.16% | 0.05% | 0.22% | -0.02% |
The heat map shows percentage changes of major currencies against each other. The base currency is picked from the left column, while the quote currency is picked from the top row. For example, if you pick the Euro from the left column and move along the horizontal line to the US Dollar, the percentage change displayed in the box will represent EUR (base)/USD (quote).
Author
Guillermo Alcala
FXStreet
Graduated in Communication Sciences at the Universidad del Pais Vasco and Universiteit van Amsterdam, Guillermo has been working as financial news editor and copywriter in diverse Forex-related firms, like FXStreet and Kantox.
