EUR/GBP: Drop Could Extend

Technical Reports

Trading tone is neutral, as the cross recovered after falling to 0.8810. Following pivot points include: (S1) 0.8824; (P) 0.8851; (R1) 0.8891.

Overcoming of resistance 0.8939 will confirm completion of the fall from 0.9098 and turn forecast bullish for this resistance. Trading below below 0.8810 will widen the drop from 0.8931 to retest low 0.8655.

The cross remains inside of a long term diapason pattern from 0.9304. In case of another rally, sustained resistance from 0.9304/5 might bound upside. As fall from 0.9303 extends, downside should be contained by 0.8116 cluster support, 50% retracement of 0.6935 to 0.9304 at 0.8120.