Daily Pivots: (S1) 0.8796; (P) 0.8806; (R1) 0.8823; More…
EUR/GBP’s break of 0.8827 resistance argues that whole decline from 0.9267 has completed. Intraday bias is now back on the upside. Further rally would be seen to 61.8% retracement of 0.9276 to 0.8545 at 0.8997 and possibly above. For now, this will remain the favored case as long as 4 hour 55 EMA (now at 0.8744) holds.
In the bigger picture, fall from 0.9267 is seen as a down leg inside long term range pattern. Deeper fall could be seen towards 0.8201/8338 support zone. But strong support should be seen there to bring reversal. Nevertheless, firm break of 0.8827 resistance will turn favor to the case that such decline is merely a correction in the up trend from 0.8201. That is, further rally would be seen at a later stage through 0.9267.
