EUR/GBP Price Analysis: Bulls await a move beyond 0.8585-90 confluence hurdle


  • EUR/GBP prolonged its recent move up and shot to four-week tops on the last day of the week.
  • The set-up favours bullish traders and supports prospects for additional gains in the near term.
  • Sustained weakness below 50-day SMA will negate the positive outlook and prompt fresh selling.

The EUR/GBP cross built on its recent strong rebound from the lowest level since February 2020, around mid-0.8400 and shot to four-week tops during the European session on Friday.

The momentum stalled just ahead of a confluence hurdle comprising of the 61.8% Fibonacci level of the 0.8670-0.8450 downfall and 100-day SMA. The mentioned barrier, around the 0.8585-90 region, should now act as a key pivotal point for short-term traders and help determine the next leg of a directional move for the EUR/GBP cross.

Meanwhile, technical indicators on the daily chart have just started moving into the positive zone and support prospects for an extension of the over one-week-old recovery move. That said, it will still be prudent to wait for some follow-through buying beyond the said resistance before positioning for any further appreciating move.

The EUR/GBP cross might then accelerate the momentum towards an intermediate hurdle near the 0.8640-45 region before eventually climbing back towards July monthly swing highs, around the 0.8670 area. The next relevant resistance is pegged just above the 0.8700 mark, representing a technically significant 200-day SMA.

On the flip side, the 50% Fibo. level, around the 0.8555 area now seems to protect the immediate downside. This is closely followed by the 50-day SMA, which should now act as a strong base for the EUR/GBP cross. Failure to defend the said support levels might shift the near-term bias back in favour of bearish traders.

EUR/GBP daily chart

fxsoriginal

Technical levels to watch

EUR/GBP

Overview
Today last price 0.8573
Today Daily Change 0.0012
Today Daily Change % 0.14
Today daily open 0.8561
 
Trends
Daily SMA20 0.8513
Daily SMA50 0.855
Daily SMA100 0.8591
Daily SMA200 0.8714
 
Levels
Previous Daily High 0.8566
Previous Daily Low 0.8506
Previous Weekly High 0.8518
Previous Weekly Low 0.845
Previous Monthly High 0.867
Previous Monthly Low 0.85
Daily Fibonacci 38.2% 0.8543
Daily Fibonacci 61.8% 0.8529
Daily Pivot Point S1 0.8522
Daily Pivot Point S2 0.8484
Daily Pivot Point S3 0.8462
Daily Pivot Point R1 0.8583
Daily Pivot Point R2 0.8604
Daily Pivot Point R3 0.8643

 

 

Share: Feed news

Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers. The author will not be held responsible for information that is found at the end of links posted on this page.

If not otherwise explicitly mentioned in the body of the article, at the time of writing, the author has no position in any stock mentioned in this article and no business relationship with any company mentioned. The author has not received compensation for writing this article, other than from FXStreet.

FXStreet and the author do not provide personalized recommendations. The author makes no representations as to the accuracy, completeness, or suitability of this information. FXStreet and the author will not be liable for any errors, omissions or any losses, injuries or damages arising from this information and its display or use. Errors and omissions excepted.

The author and FXStreet are not registered investment advisors and nothing in this article is intended to be investment advice.

Recommended content


Recommended content

Editors’ Picks

GBP/USD holds above 1.2600 after strong UK inflation data

GBP/USD holds above 1.2600 after strong UK inflation data

GBP/USD holds steady above 1.2600 in the European morning on Wednesday after the data from the UK showed that the annual CPI inflation climbed to 3% in January from 2.5% in December. Market focus shifts to mid-tier US data and FOMC Minutes.

GBP/USD News
EUR/USD holds positive ground near 1.0450, FOMC Minutes in focus

EUR/USD holds positive ground near 1.0450, FOMC Minutes in focus

The EUR/USD pair posts modest gains to around 1.0450 during the Asian trading hours on Wednesday, bolstered by the weakening of the US Dollar. However, tariff concerns and tense Russia-Ukraine negotiations might boost the Greenback and cap the upside for the major pair. 

EUR/USD News
Gold price recovers early lost ground; holds steady near record high amid trade war fears

Gold price recovers early lost ground; holds steady near record high amid trade war fears

Gold price attracts some dip-buying as trade war fears continue to underpin safe-haven assets. Fed rate cut bets keep the USD bulls on the defensive and further lend support to the XAU/USD. A positive risk tone might cap the commodity as traders await the release of the FOMC minutes. 

Gold News
Maker Price Forecast: MKR generates highest daily revenue of $10 million

Maker Price Forecast: MKR generates highest daily revenue of $10 million

Maker (MKR) price extends its gains by 6%, trading around $1,189 on Wednesday after rallying more than 20% so far this week. Artemis data shows that MKR generated $10 million in revenue on February 10, the new yearly high in daily revenue.

Read more
Rates down under

Rates down under

Today all Australian eyes were on the Reserve Bank of Australia, and rates were cut as expected. RBA Michele Bullock said higher interest rates had been working as expected, slowing economic activity and curbing inflation, but warned that Tuesday’s first rate cut since 2020 was not the start of a series of reductions.

Read more
The Best Brokers of the Year

The Best Brokers of the Year

SPONSORED Explore top-quality choices worldwide and locally. Compare key features like spreads, leverage, and platforms. Find the right broker for your needs, whether trading CFDs, Forex pairs like EUR/USD, or commodities like Gold.

Read More

Forex MAJORS

Cryptocurrencies

Signatures

Best Brokers of 2025