EUR/GBP Price Analysis: Sellers lick their wounds around mid-0.8500s

  • EUR/GBP bears take a breather around three-week-old support line.
  • Bearish MACD, short-term falling trend line resistance test corrective pullback.
  • June’s low lures sellers, bulls remain divided before refreshing monthly top.

EUR/GBP consolidates recent losses around 0.8545, up 0.05% intraday, amid early Tuesday. The cross-currency pair dropped to an ascending support line from June 23 the previous day before the bears took a breather.

However, MACD signals and the corrective pullback’s inability to cross a three-day-old descending resistance line keep sellers hopeful.

Even if the EUR/GBP buyers manage to cross the 0.8550 immediate hurdle, the 0.8600 threshold and the monthly peak surrounding 0.8620 remain as the key barrier to the north.

On the flip side, June’s low around 0.8530 adds to the downside filters below the stated support line near 0.8535. Though, a sustained trading below 0.8530 won’t hesitate to challenge the yearly bottom close to 0.8470.

During the fall, the 0.8500 round figure may act as an intermediate halt.

EUR/GBP four-hour chart

Trend: Bearish

FX

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