Traders Beware!

Fraudulent websites posing to have a connection with JFD

Please be aware of fraudulent websites
posing as JFD's affiliates and/or counterparties

More information
by Charalambos Pissouros

EUR/GBP Trades Within a Range

EUR/GBP traded lower on Friday, after it hit resistance near 0.9053 on Wednesday and Thursday. The slide brought the rate below yesterday’s low of 0.9030, but the price action still remains within a sideways range between the 0.9053 barrier and the 0.8983 level. Thus, with that in mind, we prefer to remain sidelined for now, despite today’s decline.

In order to start examining whether the outlook has turned negative, we prefer to see a dip below the lower end of the range, at 0.8983, or even better below Tuesday’s low of 0.8970. Such a move would confirm a forthcoming lower low and may initially see scope for declines towards the low of July 10th, at 0.8938. If that level is not able to stop the slide either, then we may see extensions towards the 0.8910 area, marked as a support by the low of June 16th.

Shifting attention to our short-term oscillators, we see that the RSI just dipped below 50 and continues to point down, while the MACD, although positive, has fallen below its trigger line, pointing down as well. Both indicators support the notion for further declines in this exchange rate, but as we already noted, we prefer to wait for a dip below 0.8970 before we get more confident on that front.

On the upside, the move that could invite more bulls to the action may be a break above the upper end of the pre-mentioned range, at 0.9053. This may open the path towards the 0.9085 territory, near the high of July 29th, a break of which may extend the advance towards the high of the day before, at around 0.9135.

EUR/GBP 4-hour chart technical analysis


The content we produce does not constitute investment advice or investment recommendation (should not be considered as such) and does not in any way constitute an invitation to acquire any financial instrument or product. The Group of Companies of JFD, its affiliates, agents, directors, officers or employees are not liable for any damages that may be caused by individual comments or statements by JFD analysts and assumes no liability with respect to the completeness and correctness of the content presented. The investor is solely responsible for the risk of his investment decisions. Accordingly, you should seek, if you consider appropriate, relevant independent professional advice on the investment considered. The analyses and comments presented do not include any consideration of your personal investment objectives, financial circumstances or needs. The content has not been prepared in accordance with the legal requirements for financial analyses and must therefore be viewed by the reader as marketing information. JFD prohibits the duplication or publication without explicit approval.

CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 84.25% of retail investor accounts lose money when trading CFDs with the Company. You should consider whether you understand how CFDs work and whether you can afford to take the high risk of losing your money. Please read the full Risk Disclosure.

Copyright 2020 JFD Group Ltd.