EUR/GBP, continues to exhibit stable range of 0.8500 to 0.8765
The EUR/GBP pair is a suitable choice for range traders, with the body of the 0.8500 to 0.8765 range remaining intact for some time. The CCI indicator on the bottom of the chart is useful in highlighting the changing range trend, although it is a lagging indicator. The current price is approaching the middle of […]
The EUR/GBP pair is a suitable choice for range traders, with the body of the 0.8500 to 0.8765 range remaining intact for some time. The CCI indicator on the bottom of the chart is useful in highlighting the changing range trend, although it is a lagging indicator.
The current price is approaching the middle of its recent range, which suggests a neutral stance. However, if the three moving averages are broken, the move lower could be on the way. Range traders can wait for the close of the range to ascertain the direction.
Long positions can be taken at the lower support level at 0.8494 with a stop loss placed at the nearby resistance at 0.8715. On the other hand, a move up to 0.8715 can open a short position at the multi-month high of 0.8766.
EUR/GBP PRICE CHART
According to the data released by IG, 48.22% of traders are long EUR/GBP, while the number of traders who are short is at 1.07 to 1. The ratio of net-long to short is lower than yesterday and is higher than last week. We believe that the large number of net-short traders suggests that the price of the currency may continue to rise.
