• EUR/GBP retraced Monday’s sharp downward movements.
• The daily RSI and MACD signals a stabilizing selling pressure.
• The pair might extend its current sideways trend in the next sessions.

EUR/GBP rose to 0.8370 on Wednesday, displaying some volatility during the European trading session. Nevertheless, the pair failed to hold on to gains, and it currently trades at 0.8350. The cross seems to be consolidating the start of the week’s sharp downward movements with sellers taking a breather.

The Relative Strength Index (RSI) on the daily chart stands at 37, suggesting that buyers are starting to take control after Monday’s selloff, and the RSI is gradually increasing. However, the RSI is still below the midline, indicating that the market is in a negative trend. The Moving Average Convergence Divergence (MACD) is flat, with the signal line above the MACD line, suggesting that selling is losing steam.