Daily Pivots: (S1) 0.8624; (P) 0.8661; (R1) 0.8724; More…
EUR/GBP’s break of 0.8653 minor resistance indicates short term bottoming at 0.8537, just ahead of 161.8% projection of 0.9291 to 0.8861 from 0.9229 at 0.8533. Intraday bias is back on the upside for 55 day EMA (now at 0.8832). For now, risk will be mildly on the upside as long as 0.8537 holds, in case of retreat.
In the bigger picture, we’re seeing the price actions from 0.9499 as developing into a corrective pattern. That is, up trend from 0.6935 (2015 low) would resume at a later stage. This will remain the favored case as long as 0.8276 support holds. However, firm break of 0.8276 support will suggest that rise from 0.6935 has completed and turn outlook bearish.
