Daily Pivots: (S1) 0.8661; (P) 0.8677; (R1) 0.8698; More…
Intraday bias in EUR/GBP remains on the upside at this point. Consolidation pattern from 0.8472 is possibly extending with another rising leg. Further rise could be seen to 0.8722 resistance first. Break will target 0.8840 resistance. On the downside, break of 0.8624 minor support will turn bias back to the downside for 0.8472 low instead.
In the bigger picture, medium term decline from 0.9306 (2017 high) is seen as a corrective move. Current development suggests that it’s extending through 0.8312 support towards 50% retracement of 0.6935 (2015 low) to 0.9306 at 0.8121. We’ll look for strong support around there to contain downside to complete the correction. But for now, break of 0.8681 resistance is needed to be the first sign of medium term bottoming. Otherwise, outlook will stay bearish in case of recovery.
