EUR/GBP Is in a Sideways Trend, May Decline to Level 0.8955

Key Resistance Levels: 0.9200, 0.9400, 0.9600
Key Support Levels: 0.8800, 0.8600, 0.8400

EUR/GBP Price Long-term Trend: Bearish
The pound has been in a sideways move since December. Today, the Pound is falling but in lower lows and lower highs pattern. The pound has made lower highs and it is falling. Perhaps it will fall and break below level 0.8950.

Daily Chart Indicators Reading:
The 50-day and 21-day SMAs are sloping horizontally. The pair is at level 51 of the Relative Strength Index period 14. The pound is above the centerline 50. It also indicates that there is a balance between supply and demand.

EUR/GBP Medium-term Trend: Bullish
On the 4-hour chart, the EUR/GBP pair moved up to level 0.9080 and it is gradually falling. On January 7 downtrend, a retraced candle body tested the 50% Fibonacci retracement level. It indicates that the pound will fall to level 2.0 Fibonacci extension. That is the pound will reach the low of level 0.8955.

4-hour Chart Indicators Reading
The 50-day SMA and 21-day SMA are sloping upward. The pair is above the 40% range of the daily stochastic. The stochastic bands are horizontally flat. It indicates that the Pound is in a sideways move.

General Outlook for EUR/GBP
The Pound has been fluctuating since December. The pair is gradually falling in the lower lows and lower highs pattern. According to the Fibonacci tool analysis, the pair will reach a low of level 0.8955.


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