EUR/GBP Stuck in Trading Range, Buyers Struggle to Clear 50-Day SMA

The EUR/GBP currency pair has been stuck in a narrow trading range this month, unable to break above the 50-day Simple Moving Average (SMA) at around 0.8567. Despite some stabilization in momentum, the near-term bias remains mildly bearish. Traders have shown a muted reaction to recent economic data, with UK Retail Sales coming in weaker than expected and preliminary August Purchasing Managers Index (PMI) data exceeding market forecasts.

From a technical analysis perspective, the EUR/GBP is capped beneath a dense band of medium- and long-term moving averages and Fibonacci levels. The Relative Strength Index (RSI) at around 53 is neutral, while the Moving Average Convergence Divergence (MACD) lines are slightly above zero with a flat histogram. This suggests subdued upside pressure rather than a decisive trend reversal.

Immediate resistance emerges at the 50.0% Fibonacci retracement at 0.8573, with nearby clusters forming around the 61.8% retracement at 0.8601 and the 100-day SMA at 0.8616. Further up, the 78.6% Fibonacci level at 0.8641 precedes the 200-day SMA at 0.8663.