EUR/GBP Price Forecast: Can Euro Clear Resistance at 0.8360 as Pound Momentum Fades?

Resistance near 0.8360 comes into focus as EUR/GBP rebounds nearly 0.3% on Monday.
An upward revision to the Eurozone Manufacturing PMI follows stronger-than-expected activity across most major member countries.
The Pound finds no support from UK Manufacturing PMI data, which matched the preliminary readings.

A marked rebound in the Euro (EUR) against the British Pound (GBP) on Monday has brought resistance near 0.8360 into view. A reversal in Oil prices and encouraging Eurozone manufacturing activity data are supporting the recovery. On the daily chart, EUR/GBP is trading nearly 0.3% higher, testing the resistance zone formed by the October 27 and 28 lows around 0.8360.

TMGM Analysis: Financial Market News, Economic Calendar & Market Insights

At 52.7, the final Eurozone HCOB manufacturing Purchasing Managers’ Index (PMI) was revised up from the preliminary estimate of 52.4, moving closer to September’s 52.9 reading. Germany’s final PMI matched estimates at 52.7. Upward revisions were recorded for France and Spain, whereas Italy’s manufacturing activity unexpectedly contracted.

October’s final UK S&P Manufacturing PMI came in at 52.8, confirming the preliminary reading and marking the fastest expansion in five months, compared with 51.9 in September. Although the figures reinforce expectations of a quarter-point increase in the Bank of England’s (BoE) Bank Rate on Thursday, they have offered little support to the Pound.

Technical Analysis: Can the recovery gain traction as bearish momentum weakens?

A former support level continues to restrain Euro bulls, leaving EUR/GBP at 0.8356 with a neutral near-term bias. Having recovered from oversold territory, the 4-hour Relative Strength Index (14) is close to 50, signalling balanced momentum. Meanwhile, a marginally positive Moving Average Convergence Divergence (MACD) reading, as the indicator edges back above zero, suggests modest stabilisation rather than a clear trend.

A break above 0.8360 would be needed to open the way for a more sustained recovery. The October 28 high of 0.8380 could then act as resistance. However, confirmation of a trend change would hinge on the October 26 high near 0.8400.

Conversely, an inability to move beyond 0.8360 could bring sellers back into play, prompting a retest of Friday’s lows near 0.8320. Further downside levels are the late February 2025 highs around 0.8300, followed by the key support zone between 0.8220 and 0.8240, defined by the December 2024 and February 2025 lows.

(The technical analysis of this story was written with the help of an AI tool. Know more.)

How Is Pound Sterling Performing Today?

The British Pound (GBP) recorded its strongest performance against the Australian Dollar today. Its percentage moves against the major currencies listed are set out in the table below.

	USD	EUR	GBP	JPY	CAD	AUD	NZD	CHF
USD		-0.46%	-0.20%	0.22%	-0.00%	0.30%	0.13%	-0.63%
EUR	0.46%		0.27%	0.67%	0.45%	0.75%	0.59%	-0.14%
GBP	0.20%	-0.27%		0.45%	0.19%	0.49%	0.32%	-0.40%
JPY	-0.22%	-0.67%	-0.45%		-0.21%	0.07%	-0.10%	-0.85%
CAD	0.00%	-0.45%	-0.19%	0.21%		0.31%	0.12%	-0.59%
AUD	-0.30%	-0.75%	-0.49%	-0.07%	-0.31%		-0.17%	-0.89%
NZD	-0.13%	-0.59%	-0.32%	0.10%	-0.12%	0.17%		-0.71%
CHF	0.63%	0.14%	0.40%	0.85%	0.59%	0.89%	0.71%

Percentage movements between the major currencies are displayed in the heat map. Read the base currency from the left-hand column and the quote currency from the top row. Selecting the British Pound on the left and following its row across to the US Dollar, for instance, gives the percentage change for GBP (base)/USD (quote) in the intersecting cell.