All Articles Tagged - EURGBP

Technical Analysis – EURGBP downward trend might not have run its course

Posted on August 10, 2023 at 7:37 am GMT

EURGBP is edging higher today, battling with the 0.8635 level again. The aggressive sell-off from the February 2023 highs has probably halted as this pair has been hovering inside the 0.8504-0.8700 range for the past three months. The recent price action is giving rise to a plethora of patterns with the most prominent being a head-and-shoulders structure with the neckline currently residing at the 0.8580 area. The momentum indicators appear equally range-bound at this juncture. The Average Directional Movement Index (ADX) is hovering below [..]

Technical Analysis – EURGBP has a nice setup for a bullish reversal

Posted on August 3, 2023 at 7:50 am GMT

EURGBP keeps on maintaining a positive mood for the third consecutive day while confirming a higher low at 0.8543 ahead of the Bank of England’s rate decision today at 11:00 GMT. Specifically, the pair seems to be building the right shoulder of an inverse head and shoulders pattern (H&S), which theoretically is an encouraging sign that the previous downtrend to a ten-month low of 0.8503 is nearing its end. The 20- and 50-day simple moving averages (SMAs) are set to post their [..]

Weekly Technical Analysis – EURUSD, EURGBP, USDJPY

Posted on July 24, 2023 at 9:59 am GMT

Following a relatively quiet week in terms of economic data and events, the spotlight now turns to three major central banks: The Federal Reserve, the European Central Bank, and the Bank of Japan, which are all deciding on monetary policy on Wednesday, Thursday, and Friday, respectively. Therefore, we will take a look at how EURUSD, EURGBP, and USDJPY may perform. Fed rate decision -> EURUSD On Wednesday, the Fed is widely expected to deliver a 25bps hike. However, investors also [..]

Technical Analysis – EURGBP powers higher after UK CPI miss

Posted on July 19, 2023 at 8:06 am GMT

EURGBP experienced a sharp increase from softer-than-expected UK CPI inflation numbers, with the price rising as high as 0.8673 – the fastest daily increase since March 21. Today’s quick pick up sent the RSI back above its 50 neutral mark and the MACD further above its red signal line and closer to zero. Still, a bullish bias cannot be guaranteed as the stochastic oscillator is already comfortably above its 80 overbought level. Moreover, the price is trading around the the [..]

Inflation to determine the size of the next BoE rate hike – Forex News Preview

Posted on July 17, 2023 at 9:45 am GMT

The focus this week is on Wednesday’s UK CPI release (06.00 GMT). With the next Bank of England meeting scheduled in two weeks, this report will probably determine the size of the expected rate hike. In the meantime, the pound continues to outperform the euro but a potential downside surprise on Wednesday could really clip its wings. BoE’s inflation problem Compared to the rest of the central banks rushing to raise rates to squelch the acute inflationary pressure, the BoE [..]

Technical Analysis – EURGBP at risk of downtrend resumption

Posted on July 6, 2023 at 1:55 pm GMT

EURGBP started July’s session on the wrong foot, extending its pullback from a one-month high of 0.8657 below its short-term simple moving averages (SMAs) and towards June’s low of 0.8517. Selling pressures could stay present in the coming sessions given the downward trajectory in the momentum indicators, with traders likely keeping a close eye on the 0.8535-0.8517 region. The 61.8% Fibonacci retracement of the previous 0.8201-0.9249 uptrend is currently balancing downside forces around the same location. Hence, a close below that base [..]

Can this week’s inflation report steer the ECB away from another rate hike? – Forex News Preview

Posted on June 27, 2023 at 10:12 am GMT

We are getting closer to the end of June, and it is time for another euro area inflation report (Friday, 09:00 GMT). Despite the recent moderation in inflationary pressures, CPI releases continue to gravely affect market movements. The euro has been having a mixed month but a strong dataset this week could potentially help it recover some of its recent losses against the pound. Where are we now? The European Central Bank has been on a monetary policy restrictive path [..]

Technical Analysis – EURGBP at the bottom of a falling tube

Posted on June 21, 2023 at 7:42 am GMT

EURGBP marked a 10-month low of 0.8517 at the bottom of the four-month-old bearish channel on Monday, fully reversing its December-February ascent ahead of the Bank of England’s policy announcement due on Thursday. The 61.8% Fibonacci retracement of the 0.8200-0.9249 uptrend has been cooling downside pressures since the start of the week as well. Still, traders may remain hesitant until the price rises above 0.8590. If the bulls successfully breach the latter point, they could initially take a breather around the [..]

Technical Analysis – EURGBP rebounds but stays in downtrend

Posted on June 13, 2023 at 7:59 am GMT

EURGBP rebounded yesterday after triggering some buy orders near the 0.8545 zone, marked as support by the low of December 1. That said, the pair remains below the upward sloping line drawn from the low of March 7, which implies that yesterday’s recovery may be just a corrective bounce within the broader downtrend. Both the RSI and the MACD reflect the rebound and suggest that it could extend for a while longer, perhaps until the pair tests the aforementioned uptrend line. [..]

Technical Analysis – EURGBP near floor level; 2023 downtrend intact

Posted on June 8, 2023 at 8:03 am GMT

EURGBP posted limited gains following the pivot from a six-month low of 0.8566 as the 0.8615 territory proved a tough obstacle this week. Previously, the pair stopped near the lower boundary of the channel containing the price action since the beginning of the year, hinting at a possible bullish reversal. The momentum indicators are higher than their recent lows, sustaining some hopes for a short-term recovery. However, the negative slope of the SMAs and the “death cross” between the 50- and 200-day SMAs suggest the 2023 [..]

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