Daily Pivots: (S1) 0.8719; (P) 0.8767; (R1) 0.8794; More…
EUR/GBP continues to gyrate in range of 0.8686/8928 and intraday bias remains neutral. Outlook stays bearish with 0.8928 resistance intact. That is, fall from 0.9305 is expected to resume later. Break of 0.8686 will also have 61.8% retracement of 0.8312 to 0.9305 should then be taken out too. In that case, deeper decline would be seen to retest 0.8303/8312 support zone.
In the bigger picture, there are various ways to interpret price actions from 0.9304 high. But after all, firm break of 0.9304/5 is needed to confirm up trend resumption. Otherwise, range trading will continue with risk of deeper fall. And in that case, EUR/GBP could have a retest on 0.8303. But we’d expect strong support from 0.8116 cluster support (50% retracement of 0.6935 to 0.9304 at 0.8120) to contain downside.
