EUR/GBP - 4 Hourly

EUR/GBP is approaching the key support level of €0.8771. The German CPI is due later today, will the data add more pressure on the forex pair?

From a technical viewpoint, we can see that the euro is trading at around €0.8788 against the pound. On the 4-hourly timeframe, it has created a descending triangle with key support sitting at €0.8771 (along the horizontal trendline). A break and close below the trendline could see the euro decline further towards €0.8728. If the support level holds, there may be a pullback up towards €0.8800 (along the trendline) and even an attempt to change the course of direction by testing further resistance at €0.8811. Until the price exceeds €0.8811 and closes above it, the bias remains neutral-bearish. Looking at the indicators, MACD is very slightly positive but turning neutral and RSI remains neutral for the time being as it reads 46.