- August 13, 2020
- Posted by: Analysis Team
- Category: Forex News
- EUR/GBP marks third failure to stay strong beyond 0.9050.
- Bullish MACD questions downside past-0.9000 whereas 0.9080 acts as additional upside barriers.
EUR/GBP drops to 0.9040 while heading into Thursday’s European session. In doing so, the Euro cross fails to keep the previous two days’ upside momentum while taking a U-turn from a downward slopping trend line stretched from July 31.
Other than the trend line resistance, RSI conditions are also in favor of the sellers targeting the 0.9000 threshold.
However, the pair’s additional weakness will be questioned by bullish MACD and multiple supports around 0.8980, which if ignored could highlight the monthly low of 0.8969 as extra support.
Meanwhile, an upside clearance of the said resistance line around 0.9055 will confront 0.9080 horizontal resistance including multiple levels marked during late-July.
Should the bulls manage to cross 0.9080, July month’s top of 0.9148 will become their favorite.
EUR/GBP FOUR-HOUR CHART
Trend: Pullback expected