The common European currency has declined by 165 pips or 1.79% against the British Pound since September 22. The currency pair tested the lower line of an ascending channel pattern at 0.9050 on October 2.
The EUR/GBP exchange rate is currently trading near the lower border of the channel pattern and could be set for a breakout.
If the breakout occurs, a decline towards the 0.8900 level could be expected during the following trading sessions.
However, if the ascending channel holds, bullish traders are likely to push the currency exchange rate higher within this week’s trading sessions.
