The four-hour chart reveals that the EUR/GBP currency rate is trading in the short-term ascending channel. As a result of gaining a bullish momentum in the middle of last week, the Euro has been outperforming the Pound, clearing itself the way towards the pattern's upper trend line. Due to the support put by the monthly R1 at 0.8567 and weekly R2 at 0.8559, the pair did not manage to resume a movement in the downward direction after bouncing off from the top border of the channel. As a result, the rising wedge began to form. Consequently, in the upcoming days' fluctuations of the rate should continue to narrow until the price breaks down.
| Level | Rationale | Indicator | 4H | 1D | 1W | |||
| R4 | 0.8718 | Monthly R2 | MACD (12; 26; 9) | Sell | Sell | Sell | ||
| R3 | 0.8631 | Trend line | RSI (14) | Buy | Buy | Sell | ||
| R2 | 0.8627 | Weekly R3 | Stochastic (5; 3; 3) | Neutral | Neutral | Neutral | ||
| R1 | 0.8622 | Upper Bollinger Band | ADX (14) | Sell | Sell | Sell | ||
| S1 | 0.8576 | 20-period SMA | CCI (14) | Buy | Neutral | Neutral | ||
| S2 | 0.8567 | Monthly R1 | AROON (14) | Neutral | Sell | Neutral | ||
| S3 | 0.8559 | Weekly R2 | Alligator (13; 8; 5) | Buy | Buy | Buy | ||
| S4 | 0.8552 | Trend line | SAR (0.02; 0.2) | Buy | Buy | Sell | ||
| Aggregate | ↗ | → | ↘ |