Daily Pivots: (S1) 0.8547; (P) 0.8567; (R1) 0.8594; More…
A temporary low is in place at 0.8529 in EUR/GBP with current recovery. Intraday bias is turned neutral first. Upside of recovery should be limited below 0.8840 resistance to bring another decline. On the downside, break of 0.8529 will resume the fall from 0.9101 and target long term projection target at 0.8416 next.
In the bigger picture, EUR/GBP is seen as staying in long term range pattern started at 0.9304 (2016 high). On the downside, decisive break of 0.8620 support resumed the falling leg from 0.9305 (2017 high). Next target is 100% projection of 0.9305 to 0.8620 from 0.9101 at 0.8416. In this case, we’d expect strong support around 0.8312 to contain downside and bring rebound.
