EUR/GBP Price Analysis: Confined in a narrow range around mid-0.8900s
- EUR/GBP consolidated in a range below multi-week tops set on Thursday.
- The near-term technical set-up still seems tilted in favour of bullish traders.
The EUR/GBP cross extended its sideways consolidative price action through the early part of European trading session on Friday and held below eight-week tops set on Thursday.
The cross stalled its recent appreciating move near the key 0.9000 psychological mark. The mentioned level coincides with the 38.2% Fibonacci level of the 0.9500-0.8671 fall and should now act as a key pivotal point for the pair's next leg of a directional move.
Meanwhile, technical indicators on the 1-hourly charts have been drifting lower in the bearish territory and point to some weakness. However, bullish oscillators on 4-hourly/daily charts support prospects for the emergence of some dip-buying.
Hence, any subsequent slide towards the 0.8900 round-figure mark might still be seen as an opportunity to initiate fresh bullish positions. This, in turn, should help limit any meaningful fall near the 0.8875 support zone – 23.6% Fibo. level.
On the flip side, bulls are likely to wait for some follow-through buying above the 0.9000 mark before placing fresh bets. The cross might then accelerate the move towards the 0.9060-65 intermediate resistance en-route 50% Fibo. level near the 0.9100 round-figure mark.
EUR/GBP daily chart
Technical levels to watch
Reprinted from FXStreet,the copyright all reserved by the original author.
Disclaimer: The content above represents only the views of the author or guest. It does not represent any views or positions of FOLLOWME and does not mean that FOLLOWME agrees with its statement or description, nor does it constitute any investment advice. For all actions taken by visitors based on information provided by the FOLLOWME community, the community does not assume any form of liability unless otherwise expressly promised in writing.
FOLLOWME Trading Community Website: https://www.followme.com
Hot
No comment on record. Start new comment.