Eurgbp Finds Support Near Sma

 Eurgbp Finds Support Near Sma

Eur/Gbp Finds Support Near 50 And 100 Sma

Since the start of the year 2024, the EUR/GBP has been in a downtrend but is still reading within its long-term range. A closer look at the EUR/GBP technical chart shows that the pair has found support in the form of 50 SMA and 100 SMA on the D1 chart.

Both of these SMA lines are located near the 0.8566 - 0.8567 & thus present a solid support base for the EUR/GBP. However, a break of this level could turn this into a strong resistance for the EUR bulls.

Macd Hints At More Downside For Eur/Gbp

The recent downtrend in the EUR/GBP is a sign that the EUR is under pressure against the Pound. At the same time, the MACD indicator also indicates that it just crossed below the signal line (red).

Overall, the technical indicators, such as the SMA and the MACD, hint that the EUR/GBP is going through a bearish phase. Despite the selling seen in the EUR/GBP, it is still trading within a channel or range, which means there's still a chance of a bounceback.

Most of the charts show that the EUR/GBP is going through a bearish phase. However, it is also important to note that the EUR/GBP can also jump back up from the 50 and the 100 SMA support levels.

The bottom of the range is located at 0.8540, a few pips below the dynamic support of the 50 & 100 SMA. So, if the EUR/GBP manages to turn higher from the SMA support levels, it will mean a revisit to the 0.8600 handle.

However, there's still no technical indicator or chart pattern that suggests that the short-term reversal seen in the EUR/GBP has come to an end. In fact, the technical charts show that there are no bullish signs for the EUR/GBP yet.

While we look at the technicals of the EUR/GBP, it is also important to note that the rate difference between the EUR and the GBP will also play a key role in setting the trading price of the EUR/GBP.

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