EUR/GBP 3 Day Down Streak Ended; in a Downtrend Over Past 14 Days

EUR/GBP Price Recap

A moment of silence, please, for the end of EUR/GBP’s 3 day up streak; price ended yesterday down 28 pips (-0.34%) to finish the day at a rate of rate of 0.83012. The price move occurred on volume — and we’re using the number of tick price changes as a proxy for volume — that was up 66.9% from the day prior, but down 4.05% from the same day the week before. Out of the 40 instruments in the Forex asset class, EUR/GBP ended up ranking 32nd for the day in terms of day-over-day price change. The price chart of EUR/GBP below illustrates.

EUR/GBP Technical Analysis

Coming into today EUR/GBP is now close to its 20 and 50 day moving averages, which may act as price barrier for the asset. Volatility for EUR/GBP has exploded over the past two weeks relative to the past 30 days, which technical traders will want to note. The clearest trend exists on the 14 day timeframe, which shows price moving down over that time. For additional context, note that price has gone down 7 out of the past 10 days.

The View From Around the Web

We’re seeing some traders come out with interesting conviction on EURGBP, with 30 buy signals on our radar and 10 sell signals. This imputes a buy/sell ratio of 3, which is bullish. As for the rationale, technical traders seem to be citing the appearance of a channel technical pattern. Here’s a piece we found on tradingview.com; below is a short snippet from it to give you a taste.

EURGBP at support level 0.828 + on the support line.The price is in the falling channel, but I expect a rollback to the support level of 0.838