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. See our updated Privacy Policy here.

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
Subscribe
Please try again
Wall Street
Bearish
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
More View more
Real Time News
  • Traders utilize varying time frames to speculate in the forex market. The two most common are long- and short-term-time frames which transmits through to trend and trigger charts. Learn more about time-frame analysis here: https://t.co/9S5tXIs3SX https://t.co/FVisZuTP6M
  • Stocks appear to be in a corrective phase but could get put to the test; levels and lines to watch in the days ahead. Get your weekly equities forecast from @PaulRobinsonFX here: https://t.co/H1BaTlIHjY https://t.co/zP3mjfslSD
  • Currency exchange rates are impacted by several factors. Are different world leaders a contributing factor? Find out here: https://t.co/4jsORznRTE https://t.co/Of1thU4zXw
  • Further your forex knowledge and gain insights from our expert analysts on AUD with our free guide, available today: https://t.co/p2FhEwym1E https://t.co/MjiYB85TSF
  • Many people are attracted to forex trading due to the amount of leverage that brokers provide. Leverage allows traders to gain more exposure in financial markets than what they are required to pay for. Learn about FX leverage here: https://t.co/BdgFmkRxVw https://t.co/fIO9TP7D62
  • Trading Forex is not a shortcut to instant wealth, excessive leverage can magnify losses, and sentiment is a powerful indicator. Learn about these principles in depth here: https://t.co/lZFM8youtX https://t.co/Xja8DHUqlH
  • Risk management is one of the most important aspects of successful trading, but is often overlooked. What are some basic principles or risk management? Find out from @PaulRobinsonFX here: https://t.co/IsnpfJhp91 https://t.co/9po5Lg4vnR
  • The Japanese Yen is eyeing the upcoming Bank of Japan rate decision and CPI figures, but JPY crosses will likely remain dependent on broader market sentiment. Get your weekly $JPY forecast from @FxWestwater here: https://t.co/x9rbQpPfWe https://t.co/2x1R5XTVea
  • Consolidation or bull flag? A bull flag is a continuation pattern that occurs as a brief pause in the trend following a strong price move higher. Learn how to better spot these formations here: https://t.co/yOEvLjKnct https://t.co/uCaWQiu4Ly
  • Crude and Brent oil are on track to extend higher as Gulf Coast supply disruptions and a positive OPEC report bolster sentiment. Uranium is on a massive surge, aided by the famous Wall Street Bets group. Get your market update from @FxWestwater here:https://t.co/XrpV0jcy8e https://t.co/g2To3LmUah
EUR/GBP Technical Analysis: Euro Prices Awaiting Range Breakout

EUR/GBP Technical Analysis: Euro Prices Awaiting Range Breakout

Daniel Dubrovsky, Strategist

EUR/GBP Technical Analysis

  • EUR/GBP appears to be transitioning into a consolidation mode for the time being
  • Upper boundary of the range around 0.89394 while the lower one is near 0.88108
  • A climb above the range exposes 2018 high, a descent meanwhile eyes April lows

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

Since we last took a look at EUR/GBP, the pair was struggling to confirm a break above a falling trend line from August. Confirmation via more closes to the upside could have meant a lasting uptrend to come. But, that was not the case as anticipated. The pair fell instead, but lasting downside progress was not achieved and we are now back to where we left off.

With that in mind, the Euro appears to be transitioning into a consolidation mode against the British Pound. EUR/GBP is sitting squarely at the edge of a horizontal range of resistance between 0.89235 and 0.89394. Looking below, near-term horizontal support is between a range of 0.88384 and 0.88108. Until we get a clear cut push outside of either barrier, more oscillation may be in store next.

In the event that either barrier is breached, it could carry with it implications of the next dominant trend. With prices at resistance, let’s take a look at where a push higher could lead to. First up would be a rising range of support (red channel on the chart below) that was first broken in early October and retested at the end of the same month. Sitting above that is the September 21st high at 0.89957.

Ascending through those areas of interest may eventually lead to a test of the August 28th high at 0.90986 which is currently the 2018 peak. Conversely, a descent through support exposes the 38.2% Fibonacci extension at 0.87634. Beyond that lies another horizontal range of support, but this one is between 0.86983 and 0.86683. Closing under this area would open the door to an 8-month low.

EUR/GBP Daily Chart

EUR/GBP Technical Analysis: Euro Prices Awaiting Range Breakout

**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