Where my range traders at?

I’ve got this straightforward EUR/GBP technical setup on my radar for today, so check it while it’s fresh!

EUR/GBP 4-hour Forex Chart by TradingView

Don’t look now, but this pair is testing the very top of its range on the 4-hour timeframe!

Will euro bears defend the ceiling? Or are we about to see a breakout soon?

Technical indicators appear to be favoring a bullish scenario, because the 100 SMA is above the 200 SMA to reflect upside pressure.

If EUR/GBP busts through the high quality, we may be in for a rally that’s the identical height because the range. That’s around 250 pips yo!

Stochastic can be reflecting the presence of bullish vibes, because the oscillator already pulled higher from the oversold region. It has loads of room to climb before indicating overbought conditions, so price could keep following suit.

I’m not seeing any major reports out of the U.K. and the eurozone in the subsequent few hours, but I’ve got my eyes on the monthly U.K. GDP release due later within the week.

Don’t forget that market watchers are pretty wary of the associated fee of living crisis within the U.K, because the drop in consumer spending power likely dampened overall economic activity recently.

If pound bears are desirous to position ahead of this major report, EUR/GBP could enjoy big moves leading as much as the actual release.

Higher take the typical EUR/GBP volatility into consideration when setting entries and exits!

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