Created
: 2024.09.30
2024.09.30 22:57
EUR/GBP pauses after correcting back from the bottom the pair made on September 24.
Despite the pullback over recent days, the pair remains in a short and medium-term downtrend and given it is a principle of technical analysis that "the trend is your friend" the odds continue to favor bears.
More broadly, EUR/GBP has now reached the first downside target for the move that began at the August 5 high suggesting an easing in bearish pressure. The target is the 61.8% extrapolation of the initial move down during August before the shallow channel higher that formed in early September. It is even possible this could indicate the end point of its decline, although that is not confirmed.
A break below the 0.8317 September 24 low, however, would reconfirm an extension of the downtrend towards the next target at 0.8287, the August 2022 low.
The Relative Strength Index (RSI) has exited oversold after the September 24 bounce and this could indicate the risk that a stronger correction may as yet unfold higher. Such a move would be confirmed by a break above 0.8372, the September 25 high.
Created
: 2024.09.30
Last updated
: 2024.09.30
FXStreet is a forex information website, delivering market analysis and news articles 24/7.
It features a number of articles contributed by well-known analysts, in addition to the ones by its editorial team.
Founded in 2000 by Francesc Riverola, a Spanish economist, it has grown to become a world-renowned information website.
We hope you find this article useful. Any comments or suggestions will be greatly appreciated.
We are also looking for writers with extensive experience in forex and crypto to join us.
please contact us at [email protected].
Disclaimer:
All information and content provided on this website is provided for informational purposes only and is not intended to solicit any investment. Although all efforts are made in order to ensure that the information is correct, no guarantee is provided for the accuracy of any content on this website. Any decision made shall be the responsibility of the investor and Myforex does not take any responsibility whatsoever regarding the use of any information provided herein.
The content provided on this website belongs to Myforex and, where stated, the relevant licensors. All rights are reserved by Myforex and the relevant licensors, and no content of this website, whether in full or in part, shall be copied or displayed elsewhere without the explicit written permission of the relevant copyright holder. If you wish to use any part of the content provided on this website, please ensure that you contact Myforex.
Myforex uses cookies to improve the convenience and functionality of this website. This website may include cookies not only by us but also by third parties (advertisers, log analysts, etc.) for the purpose of tracking the activities of users. Cookie policy