EUR/GBP technical analysis: Euro has room to the upside against Sterling

 

 

 

EUR/GBP, on the daily chart, is trading in a downtrend below its main daily simple moving averages (DMAs). In the last weeks of trading, the euphoria of a Brexit deal sent the market below the 0.8600 handle. 

 

 

EUR/GBP is trading below the 100 and 200 SMAs, suggesting a bearish bias in the medium term. In the medium term horizon, only a daily close below the 0.8575 support can potentially lead the market to the 0.8500 handle, according to the Technical Confluences Indicator. 

 

 

EUR/GBP is trading above its 200 SMA, suggesting a bullish bias in the near term. Next week bulls can try to reach the 0.8680, 0.8700 and 0.8720 on the way up, according to the Technical Confluences Indicator.