Daily Pivots: (S1) 0.8677; (P) 0.8708; (R1) 0.8726; More…
EUR/GBP’s extended fall and break of 0.8705 support argues that rebound from 0.8611 has already completed at 0.8788. The pattern from 0.8863 could already be in the third leg. Intraday bias is back on the downside for 0.8611 support. For now, risk will stay mildly on the downside as long as 0.8788 resistance holds, in case of recovery.
In the bigger picture, current development suggests that rise from 0.8221 medium term bottom is still in progress. Decisive break of 61.8% retracement of 0.9267 to 0.8221 at 0.8867 should confirm that it’s reversing whole down trend from 0.9267. That should pave the way back to 0.9267. However, sustained break of 0.8611 support will indicate rejection by 0.8867 and indicate bearish reversal.
