- EUR/GBP is muted at 0.9025/30 after rebounding off a 5 week nadir of 0.9007, yesterday
- The pullback from channel & bullish MACD indicate further upside
- 200-HMA, bearish chart pattern signals weakness
EUR/GBP hovers at 0.9030 early in the European session on Thursday after tanking to the lowest level in 5 weeks the previous day. However, it failed to break through the 7 day-descending trendline as it rebounded off 0.9007.
MACD supports the pullback pointing to challenges for a 200-HMA level of 0.9076.The 0.9050 round-figure could provide immediate resistance.
The 0.9100 resistance and the channel resistance line at 0.9115 could come into play, should EUR/GBP advance above the key HMA.
Sellers of EUR/GBP have struggled at 0.9000 psychological level which follows the channel’s support of 0.9004 and the yesterday’s low of 0.9007.
A move below 0.9000, could open the door to August lows of 0.8970 and July’s low at0.8940.