Bearish outlook intact despite sideways trading

EUR/GBP has been in a steady decline over the last few trading days and the bears have come out for a breather. On Friday, the cross initially jumped to 0.8350 and then stabilized at 0.8330, which provides more arguments that buyers are struggling.

The Relative Strength Index (RSI) is in the near-oversold zone, suggesting that selling pressure is intense, while the MACD (Moving Average Convergence Divergence) histogram is red and flat, which supports the case for consolidation near the breakout .

EUR/GBP appears to be facing short-term downward pressure, with bears currently dominating the market. A break below the 0.8300 support level could trigger further declines. However, oversold signals from technical indicators suggest the possibility of an upward correction. A break above the 0.8400 resistance level would be needed for the bulls to regain control.

EUR/GBP daily chart