We use a range of cookies to give you the best possible browsing experience. By continuing to use this website, you agree to our use of cookies.
You can learn more about our cookie policy here, or by following the link at the bottom of any page on our site.

Free Trading Guides
Oil - US Crude
More View more
Real Time News
  • The US #StockMarket is on pace to close markedly lower to start the week with less than 30-minutes left in today's #trading session as #Coronavirus fears roil Wall Street S&P 500: -1.46% Dow Jones: -1.45% Nasdaq: -1.80% Russell 2K: -0.73% VIX: +22.25% $SPX $DJI $NDX $RUT $VIX
  • #Bitcoin Daily Pivot Points: S3: 7768.5 S2: 8055.53 S1: 8177.32 P: 8342.56 R1: 8464.35 R2: 8629.59 R3: 8916.62
  • The #Dow Jones remains elevated as tech and defensive sectors underpin the index. However, we see caution in chasing the market higher amid rising risks of a potential correction. Get your market update from @JMcQueenFX here:https://t.co/3klcZ6CHpe https://t.co/3xvxNNWb2O
  • RT @MarketWatch: Economic hit from coronavirus likely to be short lived, but it’s still ‘a little scary, frankly’ https://t.co/NyB3DCRpGS
  • Know the Slope. . . $SPX500 Daily - https://t.co/FoBtqk9CYA https://t.co/nkmzVkx5p6
  • $EURUSD Daily Pivot Points: S3: 1.095 S2: 1.0993 S1: 1.1009 P: 1.1035 R1: 1.1051 R2: 1.1078 R3: 1.112
  • $AUDUSD has been my favored pair to pick on for $USD strength scenarios. RBA is next week, potential for losses still there. But can sellers break-through that .6700 handle that proved so tough to break last year? https://www.dailyfx.com/forex/fundamental/article/drivers_of_price_action/2020/01/27/australian-dollar-price-analysis-aussie-crushed-js-audusd-aud-usd-nears-6700.html https://t.co/DhGJRHFssC
  • Commodities Update: As of 19:00, these are your best and worst performers based on the London trading schedule: Gold: 0.47% Oil - US Crude: -0.13% Silver: -0.18% View the performance of all markets via https://www.dailyfx.com/forex-rates#commodities https://t.co/JhDhC307cu
  • Important to keep in mind ahead of $AAPL earnings tomorrow considering what happened the last time they revised their outlook lower - https://www.dailyfx.com/forex/market_alert/2019/01/02/Apple-Cuts-Revenue-Forecast-on-US-China-Trade-War-USDJPY-Crashes.html?ref-author=phanks https://t.co/XSOY7Ow5pa
  • Here is an update to the rolling 12-month market performance of those assets that I consider to be 'risk sensitivity' through today's fireworks. No doubt in my mind it is a 'risk move' https://t.co/1ThNLiUIOq
EUR/GBP Price Analysis - Running into Fibonacci Resistance

EUR/GBP Price Analysis - Running into Fibonacci Resistance

2019-10-10 08:00:00
Nick Cawley, Analyst

EUR/GBP Price, Charts and Analysis

  • Fibonacci retracement an obstacle for EUR/GBP.
  • UK PM and Irish Taoiseach Brexit meeting later today.

Brand New Q4 2019 GBP Forecasts and Top Trading Opportunities

Brexit developments and the latest look at monthly UK GDP (08:30 GMT) will be the main fundamental drivers of Sterling price action Thursday, while the Euro is expected to become slightly more volatile when the latest ECB minutes are released at 11:30 GMT. Brexit negotiations continue with UK PM Boris Johnson meeting with Irish Taoiseach Leo Varadkar around mid-day to continue discussions on the vexed issue of the Irish backstop.

DailyFX Economic Calendar

EUR/GBP traders should watch these fundamental drivers carefully, especially as the pair approach the next level of technical resistance.

The daily chart shows the recent EUR/GBP rally stalling in early trade. The pair are currently testing resistance provided by the 38.2% Fibonacci retracement level from the March 13 – August 12 rally at 0.8999. A clean break and close above here opens the way higher with the top of an old bearish spinning top candlestick (July 17) around 0.9050 minor resistance ahead of a cluster of old highs and lows between 0.9100 and 0.9150.

Trading with a Spinning Top Candlestick

Failure to break higher leaves 0.8975 (50-dma and recent double-top) vulnerable ahead of 50% Fibonacci retracement at 0.8899 and the July 25 spike low/20-dma zone around 0.8890. The CCI indicator shows that EUR/GBP remains overbought, signaling caution, while the IG Client Sentiment Indicator shows that retail traders are 35% net-long the pair, a bullish contrarian indicator.

EURGBP Price Daily Chart (January – October 10, 2019)

EUR/GBP Price Analysis - Running into Fibonacci Resistance

Traders may be interested in two of our trading guides – Traits of Successful Traders and Top Trading Lessons – while technical analysts are likely to be interested in our latest Elliott Wave Guide.

What is your view on Sterling (GBP) – bullish or bearish?? You can let us know via the form at the end of this piece or you can contact the author at nicholas.cawley@ig.comor via Twitter @nickcawley1.

DailyFX provides forex news and technical analysis on the trends that influence the global currency markets.


News & Analysis at your fingertips.