The EUR/GBP has recently risen to fill a price gap between 0.8472 and 0.8490. There is a possibility that this uptrend correction is coming to an end, and the downtrend may resume soon. Confirmation of this downtrend resumption would occur with a break below the June 28 low.
After hitting lows of 0.8398 on June 14, the EUR/GBP has been correcting back. The recent filling of a price gap on the charts suggests that the correction may be nearing completion. The pair is currently in a medium-term downtrend, indicating that it will likely continue moving lower after the pull-back ends. A break below 0.8447 would confirm this resumption, with the initial target being the 0.8399 June 14 low.
On the 4-hour chart, the Relative Strength Index (RSI) has exited overbought territory, signaling that the correction may be ending and a downward trend could be starting. If the RSI continues to move lower, it could indicate a return to the main downtrend. However, a break above the 0.8499 highs would suggest a continuation of the correction higher, with the 50-day Simple Moving Average at 0.8517 serving as the next resistance level.