EUR/GBP — Symmetric Triangle Signals Imminent Breakout

In today’s technical analysis, let’s take a closer look at EUR/GBP, which has been moving sideways for quite some time but is now showing clear signs that a breakout is approaching. The range is narrowing, volatility is decreasing, and traders will soon have to decide which direction to take. The pair is coiling up for a significant move, and all the signs point to an imminent breakout.

From the technical perspective, the structure on the chart is a symmetric triangle pattern, clearly visible and marked with red trendlines. This formation often appears before a major directional move, serving as a consolidation phase where buyers and sellers temporarily balance out. Over the past week, the pair has bounced twice between key boundaries of this triangle — first from the lower trendline early in the week and then from the upper boundary at the week’s end. This confirms that both lines are being respected, and that the market is in the final stages of compression before the decisive breakout.

How to approach this setup? The trading plan is quite straightforward. A breakout above the upper red line would trigger a buy signal, opening the way for a move toward the purple horizontal resistance, which represents the next major target area. Conversely, a breakout below the lower red line would generate a sell signal, setting the stage for a decline toward the August mid-month lows. Until one of these two lines gives way, the pair will likely remain range-bound — but once it does, we can expect a strong directional move to follow.

Source: https://www.axiory.com/analytics/technical-analysis/eur-gbp-symmetric-triangle-signals-imminent-breako