#EURGBP @ 0.87612 drops below the 20-day EMA, aiming to extend the downtrend towards 0.8700. (Pivot Orderbook analysis)

…
This is a premium post.
[s2If !current_user_can(access_s2member_level4)]Please register for PREMIUM VERSION HERE to read full post below containing analysis. In case of any error or you think you are not able to read the full post below, please email us at support#nehcap.com [lwa][/s2If] [s2If current_user_can(access_s2member_level4)]

• EUR/GBP drops below the 20-day EMA, aiming to extend the downtrend towards 0.8700.
• If the EUR/GBP breaks below 0.8744, it will expose crucial supports at around 0.8736, 0.8700, and the S3 pivot at 0.8671.

The pair currently trades last at 0.87612.

The previous day high was 0.8814 while the previous day low was 0.8745. The daily 38.2% Fib levels comes at 0.8771, expected to provide resistance. Similarly, the daily 61.8% fib level is at 0.8788, expected to provide resistance.

The EUR/GBP is on the defensive, dropping for the first time in the last six days amid a risk-on impulse weighing on the shared currency. At the time of writing, the EUR/GBP is trading at 0.8756, below its opening price, after hitting a daily high of 0.8807.

The EUR/GBP daily chart shows the pair faced solid resistance at the 20-day EMA at 0.8783, which was briefly broken, though, the pair retreated, and it’s trading at around October 10 lows. Therefore, the EUR/GBP is range-bound, with price action contained between the high/low of yesterday, but as it printed a fresh 3-day low, the path of least resistance is downwards. A break below 0.8744 could tumble the pair towards 0.8725, ahead of the 0.8700 mark.

The one-hour time frame illustrates the EUR/GBP as range-bound, even though price action it’s below the 20, 50, 100, and 200-EMAs, with all trapped in the 0.8760-0.8777 range. Traders should be aware that even though the Relative Strength Index (RSI) is below the 50-midline unless the EUR/GBP decisively breaks below 0.8736, October 7 daily low, it would likely remain subdued.

If the above scenario plays out, the EUR/GBP next support would be 0.8700, followed by the S3 daily pivot at 0.8671.

Technical Levels: Supports and Resistances

EURGBP currently trading at 0.8756 at the time of writing. Pair opened at 0.8772 and is trading with a change of -0.17 % .

The pair is trading below its 20 Daily moving average @ 0.8782, above its 50 Daily moving average @ 0.8618 , above its 100 Daily moving average @ 0.8573 and above its 200 Daily moving average @ 0.8477

The previous day high was 0.8814 while the previous day low was 0.8745. The daily 38.2% Fib levels comes at 0.8771, expected to provide resistance. Similarly, the daily 61.8% fib level is at 0.8788, expected to provide resistance.

Note the levels of interest below:

• Pivot support is noted at 0.874, 0.8708, 0.8672
• Pivot resistance is noted at 0.8809, 0.8846, 0.8877

[/s2If]
Join Our Telegram Group