Even though I am a bear on both these currencies, also considering that there aren’t any top tier economic data from the Euro Zone and the UK today, this analysis is very technical and I will be looking to sell. It seems like we are range bound, so bulls, buying at the bottom of the range, and bears, selling at the top of the range, will trade it accordingly.

EurGbp Daily Chart

We saw price come off the monthly bull target mid-January and the pair losing most its gains through the second half of the month. Price opened between the monthly pivot and MM2 at the beginning of the month (Feb) while retracing up to the fib-zone where it came off the 38.2 level, Monthly pivot and a midpoint psych level of 0.86500. The market action moving averages are flat and price is currently at support at a psych level of 0.85500.

EurGbp H4 Chart

Price broke through the downside of an upward asymmetric triangle yesterday with a key level of support at 0.86000. A retracement up to retest this level at the role reversal is where I will be looking for selling opportunities. Also at that area, lies the weekly pivot and the Fib zone

EurGbp H1 Chart

Price is currently at an area where bulls are most likely to buy, also with oversold stochastic, Price could possibly retrace all the way to the role reversal at DM3 where there's also confluence with the weekly pivot. keep in mind the 21 moving average as it acts as dynamic resistance and bears would also consider selling once price comes off the 21.

One thought on “EurGbp Technical Analysis”

  1. Malesela Nkwe says:

    Sure Tsholanang.. I agree with you, although Im on EURJPY and in the trade already…

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