- EUR/GBP rebounds from the intraday low on bullish technical reading.
- July bottom a healthy support level beyond the monthly low.
- 9040/45 marks an upside hurdle as a confluence of indicators.
EUR/GBP is down 0.10 Percent ahead of the Tuesday’s European session but is finding buyers near 0.9015.
Bullish MACD is in favour of an up-move, but a falling trend line from July 27 acts as a resistance for the pair’s gain from a five-week-old support line. Also, the bulls have to overcome 0.9040/45 as it is a crucial area formed by the confluence of 200-bar SMA and a falling-wedge bullish formation’s upper line.
Such a price action could push the pair to previous month’s high near 0.9150, easily overcoming the monthly high near 0.9070.
On the flip side, August 11 low near 0.8970 and month’s low of 0.8945 could attract sellers to push the pair to the falling-wedge’s support close to 0.8940.
In that bearish scenario, a daily close below 0.8938 – the previous month’s low would take EUR/GBP to June month’s low near 0.8865.