EUR/GBP Technical analysis: Testing 5-week rising trendline

EUR/GBP is currently trading just above the support of the trendline connecting the Nov. 13 and Dec. 7 lows.
Acceptance below that trendline would imply that the rally from the Nov. 13 low of 0.8656 has ended. A bearish reversal, however, would be confirmed, if and when, the pair violates the higher low pattern with a move below 0.8952.
On the higher side, a strong bounce from the ascending trendline could end up recharging engines for a re-test of the recent high of 0.9087.
The key MAs - 50, 100 and 200 - are trending north and are located one above the other. So, the pair is more likely to see a strong bounce from the ascending trendline support.

Omkar Godbole FXStreet Contributor

4-Hour Chart

Trend: Bullish

EUR/GBP

Overview:
    Today Last Price: 0.8991
    Today Daily change: -4.0 pips
    Today Daily change %: -0.0445%
    Today Daily Open: 0.8995
Trends:
    Previous Daily SMA20: 0.8925
    Previous Daily SMA50: 0.8849
    Previous Daily SMA100: 0.8893
    Previous Daily SMA200: 0.8841
Levels:
    Previous Daily High: 0.9009
    Previous Daily Low: 0.8966
    Previous Weekly High: 0.9089
    Previous Weekly Low: 0.8952
    Previous Monthly High: 0.8932
    Previous Monthly Low: 0.8656
    Previous Daily Fibonacci 38.2%: 0.8993
    Previous Daily Fibonacci 61.8%: 0.8982
    Previous Daily Pivot Point S1: 0.8971
    Previous Daily Pivot Point S2: 0.8947
    Previous Daily Pivot Point S3: 0.8928
    Previous Daily Pivot Point R1: 0.9014
    Previous Daily Pivot Point R2: 0.9033
    Previous Daily Pivot Point R3: 0.9057

Author

Omkar Godbole

FXStreet Contributor

Omkar Godbole, editor and analyst, joined FXStreet after four years as a research analyst at several Indian brokerage companies.

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