EUR/GBP to nosedive towards 0.8200 on failure at 0.8560 – SocGen

EUR/GBP has breached the low of April and is now probing downside projections of 0.8460. Economists at Société Générale expect the pair to fall to 0.8400 next while EUR/GBP stays below the 50-day moving average (DMA) at 0.8560.

See: EUR/GBP to plummet to 0.8280 on a break below 0.8470 – ING

Downward momentum is prevalent

“Daily MACD is anchored in negative territory which denotes downward momentum is prevalent and signals of a rebound are still not visible.” “Overcoming 50-DMA at 0.8560 will be essential for a short-term bounce.”

“Failure to cross the 0.8560 level can result in continuation of decline towards next projections at 0.8400 and February 2020 low of 0.8280.”