Tests end of July/early August swing levels.
The EURUSD is lower today. The GBPUSD is higher. Those pairs are moving in opposite direction to the USD. The algebra of that equation points to a lower EURGBP.
Looking at the hourly chart of the EURGBP above, the price has been trending lower.
Technically, the pair yesterday moved lower and tested the 38.2% retracement and swing low from August 6th at 0.91584. The fall took the price to 0.91543 before stalling and correcting higher.
Today, the price started to move lower, the 38.2% was cracked and it has been a straight trend lower and lower.
The price more recently, cracked below the 50% retracement at 0.91074, but stalled just ahead of swing levels from the end of July/early August at 0.9084-88. A move below would be more bearish for the pair. If that level is broken the 0.90564 level would be the next target. The low today reached 0.90897 so far.
Looking at the 5 minute chart below, the pair is in the midst of a corrective move. The 38.2% of the trend move lower comes in at 0.91256. The falling 100 bar MA comes in at 0.91278. Moves above those technical levels would take some of the trend out of the pair (stay above).
