EUR / British Pound - EUR/GBP

Pivot points are a technical indicator that traders use to predict upcoming areas of technical significance, such as support and resistance. They're calculated by averaging the high, low and closing prices of a previous period. That could be a day, a week or a month.

If a market is trading above its previous pivot point (known as P), it is seen as a bullish signal. If it is below, it is bearish.

EUR/GBP is the forex ticker representing the exchange rate of the euro and British pound. Together, this pair represents the two largest European economies.

The close link between the Eurozone and the UK makes this pair relatively stable, but moments of volatility do occur, most notably when policy announcements differ between the European Central Bank and the Bank of England. Political turmoil in the UK can also affect the British pound, creating volatility.

The pair displays some correlations with other currency pairs such as a positive correlation to USD/SGD and a negative correlation to GBP/CHF, GBP/JPY and GBP/NZD.