EURGBP bounces off key support.... again

Technical Analysis

Author: Greg Michalowski | eurgbp

Support at 0.88603 to 0.8878. Low in EURUSD moved to 0.88649 today.

The EURGBP bounced off key support for the 2nd consecutive day.  Looking at the daily chart, the 0.88603 to 0.8878 area is home to a number of swing levels going back to April 2020.  Yesterday, the low price reached 0.88688 and bounced.  Today the low price reached 0.88649 and bounced again. The price move back above a downward sloping trendline, which also gave buyers some hope that a bottom is in place.

Support at 0.88603 to 0.8878. Low in EURUSD moved to 0.88649 today.
That is the good news for the dip buyers.  The not so good news is that the bounce is still modest. 

Looking at the hourly chart, the high today could not extend to the high from yesterday near 0.8816. The high price reached 0.8806 today. The pair also remains below it's falling 100 hour moving average at 0.89217. 

Ultimately if the price is going to bounce off the key floor support on the daily chart, getting back above the 100 hour moving average would be eyed as a shorter-term bias changing clue.

Until then, the pair may continue to have support against a strong floor level from the daily chart, but the shorter-term bias remains in the favor of the sellers.

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