FXStreet (Edinburgh) - In the opinion of Axel Rudolph, Senior Technical Analysis at Commerzbank, the cross would have resumed its leg lower.

Key Quotes

EUR/GBP still hovers above the .7935 August 13 low which should soon give way”.

“Below it lie the .7916 July 7 and August 6 lows. These remain in focus for the days to come and, once fallen through, will put the .7890/74 July lows back on the map”.

“We no longer expect the .8033/36 resistance zone, made up of the late June and current August highs, to be retested and believe that EUR/GBP has resumed its downtrend”.

“Only an unexpected break above the .8033/36 area would introduce scope to challenge the .8074/82 38.2% Fibonacci retracement of the March-to-July decline and May low”.

“Such a rally should fail ahead of the .8136/59 50% retracement, February low and late May high at the very latest”.

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