EURGBP Up 1 Pips On Hourly Chart, Came Into Today Up For the 5th Consecutive Day; Price Base in Formation Over Past 30 Days

Hourly Update

(Last Updated September 15, 2020 23:16 GMT)

At the time of this writing, EURGBP’s rate is up 1 pips (0.01%) from the hour prior. This move is a reversal from the hour prior, which saw price move down. If you’re a trend trader, consider that the strongest clear trend on the hourly chart exists on the 20 hour timeframe. The moving averages on the hourly timeframe suggest a choppiness in price, as the 20, 50, 100 and 200 are all in a mixed alignment — meaning the trend across timeframes is inconsistent, indicating a potential opportunity for rangebound traders.

EURGBP End of Day Recap

Updated 00:30 GMT (04:30 EST)

EURGBP is up 32 pips (0.34%) since the day prior (opening today near 0.92559), marking the 5th consecutive day an upward move has occurred. Relative to other instruments in the Forex asset class, EURGBP ranked 5th the day prior in terms of percentage price change. Here is a price chart of EURGBP.

EURGBP

EURGBP Technical Analysis

As for the alignment of the moving averages, well, it’s a bit mixed up; the 20, 50, 100, and 200 do not progress from largest to smallest, or vice versa. The closest is the 50 day average, which is 231.9 pips away. Trend traders will want to observe that the strongest trend appears on the 14 day horizon; over that time period, price has been moving up. Also of note is that on a 30 day basis price appears to be forming a base — which could the stage for it being a support/resistance level going forward. Or to simplify this another way, note that out of the past 30 days EURGBP’s price has gone up 16 them.

The View From Around the Web

Of note is that traders in aggregate have opinions on EURGBP, with 11 buy signals on our radar and 35 sell signals. This imputes a buy/sell ratio of 0.31, which is bearish. As for the rationale, technical traders seem to be citing the appearance of fibonacci and supply zone technical patterns. Here’s a piece we found on tradingview.com; below is a short snippet from it to give you a taste.

However, I see a short opportunity from EURGBP as of now till 38.2 fib to 50.0 fib level area….(Red area) Initially, that area is of strong resistance level but price broken out of that level and now a retest of this zone is possible….I believe price level will fall slightly till the previous strong resistance level (now a strong support level).


Forex Frank is a forex analyst and market commentator with nearly two decades of experience in currency trading. Follow him on social media: Facebook | Twitter | Instagram