DailyFX.com -

To receive Ilya's analysis directly via email, please SIGN UP HERE

Talking Points:

  • EUR/GBP Technical Strategy: Flat
  • Support: 0.7978, 0.7950, 0.7927
  • Resistance:0.8023, 0.8062, 0.8081

The Euro may be on track to launch a rebound against the British Pound after prices put in a bullish Piercing Line candlestick pattern. Initial resistance comes in at 0.8023, the 14.6% Fibonacci retracement, with a break above that on a daily closing basis exposing the 23.6% level at 0.8062. Alternatively, a drop through the 23.6% Fib expansion at 0.7978 targets the June 16 low at 0.7958, followed by the 38.2% level at 0.7950.

The ECB looks to be the most dovish of the leading central banks, putting the Euro at an inherent disadvantage against its G10 counterparts. As such, we will opt not pursue buying opportunities, looking to any corrective gains for an opening to enter short (as discussed in our weekly outlook).

Confirm your chart-based trade setups with the Technical Analyzer. New to FX? Start Here!

EUR/GBP Technical Analysis – A Bottom Set Below 0.80?

Daily Chart - Created Using FXCM Marketscope 2.0

You May Also Like

COMPANIES IN THIS ARTICLE
Related Forex Analysis
  1. Forex News

    EUR/GBP off fresh 10-week lows, near 0.7090

  2. Forex News

    EUR/GBP sidelining near 0.7100

  3. Forex News

    EU membership uncertainty could weigh on the GBP – Rabobank

  4. Forex News

    EUR/GBP Technical Analysis: Four-Day Loss Streak Broken

  5. Forex News

    EUR/USD Rally Checked by ECB Commentary, Better US Data

Trading Center