0

Notifications

Notifications below are based on filters which can be adjusted via Economic and Webinar Calendar pages.

Live Webinar

Live Webinar Events

0

Economic Calendar

Economic Calendar Events

0
Free Trading Guides
EUR/USD
Bearish
Oil - US Crude
Bullish
Wall Street
Bullish
Gold
Bullish
Low
High
of clients are net long.
of clients are net short.
Long Short

Note: Low and High figures are for the trading day.

Data provided by
GBP/USD
Bullish
USD/JPY
Bullish
More View more
Real Time News
  • Heads Up:🇮🇩 Business Confidence (Q2) due at 05:00 GMT (15min) https://www.dailyfx.com/economic-calendar#2020-08-05
  • Heads Up:🇮🇩 Business Confidence (Q1) due at 05:00 GMT (15min) Previous: 104.82 https://www.dailyfx.com/economic-calendar#2020-08-05
  • IG Client Sentiment Update: Our data shows the vast majority of traders in Ripple are long at 95.73%, while traders in US 500 are at opposite extremes with 77.16%. See the summary chart below and full details and charts on DailyFX: https://www.dailyfx.com/sentiment https://t.co/7daoPL4gxF
  • Forex Update: As of 04:00, these are your best and worst performers based on the London trading schedule: 🇦🇺AUD: 0.38% 🇳🇿NZD: 0.37% 🇨🇦CAD: 0.23% 🇯🇵JPY: 0.14% 🇪🇺EUR: 0.12% 🇨🇭CHF: 0.11% View the performance of all markets via https://www.dailyfx.com/forex-rates#currencies https://t.co/R3by8hR5Gt
  • 🇮🇩 GDP Growth Rate QoQ (Q2) Actual: -4.19% Expected: -3.49% Previous: -2.41% https://www.dailyfx.com/economic-calendar#2020-08-05
  • 🇮🇩 GDP Growth Rate YoY (Q2) Actual: -5.32% Expected: -4.61% Previous: 2.97% https://www.dailyfx.com/economic-calendar#2020-08-05
  • Indices Update: As of 04:00, these are your best and worst performers based on the London trading schedule: Germany 30: 0.29% France 40: 0.19% FTSE 100: 0.19% Wall Street: 0.11% US 500: 0.06% View the performance of all markets via https://www.dailyfx.com/forex-rates#indices https://t.co/wweCoYuhgL
  • Recent changes in IGCS warns that: #DowJones may rise #CrudeOil could climb $USDCAD might extend losses Read my full report here - https://www.dailyfx.com/forex/technical/article/special_report/2020/08/05/Dow-Jones-Crude-Oil-May-Rise-as-USDCAD-Falls-on-Positioning-Signals.html?CHID=9&QPID=917702&utm_source=Twitter&utm_medium=Dubrovsky&utm_campaign=twr https://t.co/5JYj5LUKDJ
  • The Japanese Yen may fall against its major counterparts as it enters the second half of an 8-year cycle. AUD/JPY, EUR/JPY rates eye push to fresh yearly highs. Get your $JPY market update from @DanielGMoss here:https://t.co/EZUxcPSylS https://t.co/i4QVQwnJUO
  • Heads Up:🇮🇩 GDP Growth Rate YoY (Q2) due at 04:00 GMT (15min) Expected: -4.61% Previous: 2.97% https://www.dailyfx.com/economic-calendar#2020-08-05
EUR/GBP Technical Analysis: Corrective Downtrend Pause in Store?

EUR/GBP Technical Analysis: Corrective Downtrend Pause in Store?

2018-11-09 03:00:00
Daniel Dubrovsky, Analyst
Share:

EUR/GBP Technical Analysis

  • EUR/GBP on the verge of following through on bearish continuation pattern
  • More declines ahead may lead prices testing the current 2018 low at 0.8620
  • Ebbing downside momentum on 4H EUR/GBP chart warns near-term reversal

Just started trading EUR/GBP? Check out our beginners’ FX markets guide!

Last week, I pointed out a quite rare falling three method bearish continuation pattern on the EUR/GBP weekly chart. This warned that the pair was about to resume its downtrend from late August following a false breakout above a descending resistance line from then. This was indeed the case and EUR/GBP is now on the verge of closing at its lowest since the middle of April when looking at the weekly chart below.

Not only that, but achieving another close under the pattern at the end of November 9th would confirm follow through. Such an outcome would suggest that the British Pound could have more room to carve out gains against the Euro. With that in mind, let us zoom in on the daily chart to see where prices may go next in the medium and short-term.

EUR/GBP Weekly Chart

EUR/GBP Technical Analysis: Corrective Downtrend Pause in Store?

EUR/GBP closed under the October 10th low at 0.87237 which also aligns with minimums achieved back in June, effectively exposing the next range of support. This is between 0.86976 and 0.8680 which contains the lows reached back in December 2017 and during the first half of 2018. Prices are sitting squarely on top of this support range and a fall under exposes the current 2018 low at 0.8620.

EUR/GBP Daily Chart

EUR/GBP Technical Analysis: Corrective Downtrend Pause in Store?

Looking at the 4-hour chart does reveal positive RSI divergence which shows that downside momentum is ebbing. This hints that in the near-term, we may see EUR/GBP climb. But the pair would have to rise above the descending trend line from August in order to have another go at overturning the dominant downtrend.

EUR/GBP 4-Hour Chart

EUR/GBP Technical Analysis: Corrective Downtrend Pause in Store?

**Charts created in TradingView

FX Trading Resources

--- Written by Daniel Dubrovsky, Junior Currency Analyst for DailyFX.com

To contact Daniel, use the comments section below or @ddubrovskyFX on Twitter

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

DISCLOSURES

News & Analysis at your fingertips.

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.