EURGBP recovered its positive bearing as it recently found a foothold on the rising 50-day simple moving average (SMA). The rescued hike appears to be aided by the upward slopes in the 50- and 100-day SMAs.
Glancing at the short-term oscillators, it seems positive sentiment has paused. The MACD, slightly in the positive area, looks to nudge back above its red trigger line, while the RSI’s improvement in bullish territory stalls. The stochastic oscillator holds a bullish tone with the %K line having reached the 80 mark.
If buyers resurface, immediate constraints may commence at the 0.9112 obstacle ahead of the 0.9175 nearby peak. A step above may receive attempts to impede the climb from the 0.9210 level, that being the 23.6% Fibonacci retracement of the up leg from 0.8281 to 0.9498. Conquering this border, the pair may shoot to reach the 0.9326 and 0.9386 peaks from around late March.
Otherwise, if price retreats, first to test the drop is the 38.2% Fibo of 0.9034. Steering lower, the 50-day SMA at 0.8963 could defend the climb again ahead of a critical support zone from 0.8864 – 0.8911, which also encompasses the 50.0% Fibo of 0.8890. Should this support trench fail to halt the decline, the price may sink towards the 61.8% Fibo of 0.8747, prior to challenging the 200-day SMA at 0.8713.
In brief, the very short-term timeframe maintains a positive mode above the SMAs and the latest low around 0.8940.
