|

EUR/GBP Price Forecast: Neutral RSI signals further consolidation

  • EUR/GBP remains range-bound below a cluster of key daily moving averages.
  • The flat MACD histogram and neutral RSI point to subdued buying pressure.
  • The 50-day Simple Moving Average at 0.8566 acts as a near-term pivot for the cross.

EUR/GBP remains stuck in a narrow trading range this month, stalling the rebound from near 0.8460 in mid-July as buyers struggle to clear the 50-day Simple Moving Average (SMA). At the time of writing, the cross trades around 0.8567 during European trading hours on Friday, virtually unchanged on the day.

Traders show a muted reaction to Friday’s economic data. UK Retail Sales came in weaker than expected, while the previous month’s readings were revised lower. Meanwhile, preliminary August Purchasing Managers Index (PMI) data from both the UK and the Eurozone exceeded market forecasts.

Technical Analysis

On the daily chart, EUR/GBP is capped beneath a dense band of medium- and long-term moving averages and Fibonacci levels, which keeps the near-term bias mildly bearish despite some stabilization in momentum.

Price is sitting on the 50-day Simple Moving Average (SMA) around 0.8567. The Relative Strength Index (RSI) at around 53 is neutral, and the Moving Average Convergence Divergence (MACD) lines are slightly above zero with a flat histogram, suggesting subdued upside pressure rather than a decisive trend reversal.

On the topside, immediate resistance emerges at the 50.0% Fibonacci retracement at 0.8573, with the 61.8% retracement at 0.8601 and the 100-day SMA at 0.8616 forming a nearby cluster that could stall any recovery.

Further up, the 78.6% Fibonacci level at 0.8641 precedes the 200-day SMA at 0.8663, while the June high and 100.0% retracement at 0.8692 marks a stronger barrier. On the downside, initial support is seen at the 38.2% Fibonacci retracement at 0.8545, ahead of the 23.6% level at 0.8511, with the anchor low around 0.8455 acting as a more significant floor if selling pressure resumes.

(The technical analysis of this story was written with the help of an AI tool. Know more.)

Euro Price Today

The table below shows the percentage change of Euro (EUR) against listed major currencies today. Euro was the strongest against the US Dollar.

USDEURGBPJPYCADAUDNZDCHF
USD-0.18%-0.19%-0.24%-0.38%-0.72%-0.66%-0.13%
EUR0.18%-0.01%-0.07%-0.22%-0.54%-0.46%0.05%
GBP0.19%0.00%-0.07%-0.21%-0.52%-0.45%0.06%
JPY0.24%0.07%0.07%-0.13%-0.48%-0.44%0.11%
CAD0.38%0.22%0.21%0.13%-0.34%-0.28%0.24%
AUD0.72%0.54%0.52%0.48%0.34%0.04%0.58%
NZD0.66%0.46%0.45%0.44%0.28%-0.04%0.55%
CHF0.13%-0.05%-0.06%-0.11%-0.24%-0.58%-0.55%

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

Vishal Chaturvedi

I am a macro-focused research analyst with over four years of experience covering forex and commodities market. I enjoy breaking down complex economic trends and turning them into clear, actionable insights that help traders stay ahead of the curve.

More from Vishal Chaturvedi
Share:

Editor's Picks

GBP/USD pulls away from six-month peak, trades below 1.3650

GBP/USD loses its traction and trades below 1.3650 after touching its highest level since February above 1.3670 on the back of upbeat UK PMI data. Meanwhile, the US Dollar (USD) struggles to stay resilient against its peers following the Treasury Department's decision to boost long-term bond purchases earlier in the week, helping the pair cling to small gains ahead of US PMI data.

EUR/USD retreats below 1.1700 ahead of US PMI data

EUR/USD corrects lower and trades below 1.1700 following the bullish action seen in the European session despite the mixed PMI prints from Germany and the Eurozone. Investors await preliminary August PMI surveys for the US, while the persistent USD weakness allows the pair to keep its footing.

Gold tests three-month highs near $4,600 as the US Dollar dives

Gold extends gains on Friday, with bulls aiming for a retest of the $4,600 resistance area, the top of the last six months' trading range. Precious metals are gaining momentum, favoured by a sharp US Dollar selloff, following the announcement of a US Treasury plan to boost liquidity to repurchase long-term securities.

Crypto Today: Bitcoin, Ethereum, XRP bulls accelerate rally amid rising ETF inflows

The cryptocurrency market remains bullish on Friday, led by Bitcoin’s surge above $77,000. Altcoins, including Ethereum and Ripple, mirror BTC’s positive outlook, trading near $2,400 and $1.35, respectively.

S&P Global US PMIs expected to ease slightly in August, still showing solid growth

S&P Global will release the preliminary figures of August’s US Purchasing Managers' Indices (PMIs). For August, the market consensus anticipates a mild slowdown in economic activity, with the Manufacturing PMI ticking down to 53.8 from July’s 53.9 reading and the Services PMI easing to 54.0 from last month’s 54.6.

$20 billion offered, $2 billion taken: Why Treasury doubled its buyback cap

The US Treasury moved off its own calendar on Wednesday, and that is the part worth sitting with. At 12:32 GMT, the department said it would at least double the size of liquidity support buyback operations in the 10-year to 20-year and 20-year to 30-year sectors, lifting the maximum from $2 billion per operation to at least $4 billion, effective September 9 and running to November 4.