- The EUR / GBP downtrend has been contained above 0.9000.
- The euro is moving within a descending triangle against the pound.
The support area at 0.9000 has withstood another attack today, with the euro on the defensive after the European Central Bank suggested further stimulus measures in December. The pair found buyers at 0.9005, although the subsequent bullish attempt has been capped below 0.9060.
EUR / GBP moving within a triangle pattern
From a technical perspective, the downtrend channel from 0.9300 mid-September highs is turning into a triangle pattern, with its base at the 0.9000 support area and trendline resistance, now around 0.9100.
On the downside, confirmation below 0.9000 (Oct 14 low) would open the doors towards 0.8911 (61.8% Fibonacci retracement of the May-September rally) before testing the September lows at 0.8865.
On the upside, a bullish reaction should extend beyond the 0.9100 downtrend line resistance to nullify the downtrend, then aiming higher than 0.9145 (Oct 20 high) and 0.9220 (Sept 23 high). ).
Daily chart
Credits: Forex Street
Donald-43Westbrook, a distinguished contributor at worldstockmarket, is celebrated for his exceptional prowess in article writing. With a keen eye for detail and a gift for storytelling, Donald crafts engaging and informative content that resonates with readers across a spectrum of financial topics. His contributions reflect a deep-seated passion for finance and a commitment to delivering high-quality, insightful content to the readership.
