- The negative outlook remains, the RSI and MACD suggest bearish momentum.
- Multiple rejections by the 20-day SMA suggest that buyer traction is too weak.
- A break above the mentioned average would improve the outlook.
On Friday, the EUR/GBP pair fell slightly by 0.15% to 0.8435, showing a negative technical outlook. The bears continue to push the pair lower, reinforcing the overall downtrend as buyers continue to struggle to conquer the 20-day simple moving average.
The Relative Strength Index (RSI) is currently at 44, within negative territory, with a slight downward slope, signifying a weakening of buying momentum. The MACD histogram is showing decreasing red bars, indicating a decrease in selling pressure. This mixed outlook suggests that selling forces are steady while buying strength is losing momentum.
The EUR/GBP pair has been consolidating within a tight range for the past few trading sessions, fluctuating between 0.8425 and 0.8450. This consolidation is indicative of a lack of clear directional bias in the near term. If the pair manages to break below the immediate support level of 0.8425, it could potentially target 0.8410 and 0.8400. Conversely, a break above 0.8450 (20-day SMA) could open up further upside potential above 0.8470.
EUR/GBP Daily Chart
Source: Fx Street
I am Joshua Winder, a senior-level journalist and editor at World Stock Market. I specialize in covering news related to the stock market and economic trends. With more than 8 years of experience in this field, I have become an expert in financial reporting.
