Daily Pivots: (S1) 0.8302; (P) 0.8321; (R1) 0.8336; More…
EUR/GBP is losing downside momentum as seen in 4 hour MACD. But after all, outlook stays bearish with 0.8377 resistance intact. Current down trend should continue to 0.8276 key long term support. On the upside, however, break of 0.8377 resistance will now indicate short term bottoming, and bias back to the upside for stronger rebound.
In the bigger picture, price actions from 0.9499 (2020 high) are still seen as developing into a corrective pattern. Deeper fall could be seen as long as 0.8598 resistance holds, towards long term support at 0.8276. We’d look for bottoming signal around there to bring reversal. Meanwhile, firm break of 0.8598 will now be an early sign of medium term bottoming and bring stronger rebound. However, sustained break of 0.8276 will argue that the long term trend has reversed.
