Daily Pivots: (S1) 0.8712; (P) 0.8729; (R1) 0.8753; More…
Intraday bias in EUR/GBP remains neutral with immediate focus on 0.8750 resistance. Firm break there will resume larger rise from 0.8221 to 0.8867 fibonacci level. On the downside, though, break of 0.8654 support will now indicate near term bearish reversal.
In the bigger picture, rise from 0.8221 medium term bottom is seen as a corrective move. While further rally cannot be ruled out, upside should be limited by 61.8% retracement of 0.9267 to 0.8221 at 0.8867. Considering bearish divergence condition in D MACD, firm break of 0.8654 support will be the first sign that this corrective bounce has completed. Sustained trading below 55 W EMA (now at 0.8562) will confirm, and bring retest of 0.8221 low.
