Daily Pivots: (S1) 0.8878; (P) 0.8906; (R1) 0.8920; More…
Intraday bias in EUR/GBP remains neutral for consolidation above 0.8875 temporary low. Outlook is unchanged that whole corrective rise from 0.8620 has completed at 0.9097 and deeper decline is expected. Upside of recovery should be limited well below 0.9051 resistance to bring fall resumption. On the downside, break of 0.8875 will target 61.8% retracement of 0.8620 to 0.9097 at 0.8802 and below.
In the bigger picture, EUR/GBP is staying in long term range pattern from 0.9304 (2016 high). At this point, there is no clear sign of range break out yet. And more corrective trading would continue. On the upside, in case of another rise, we’d stay cautious on strong resistance from 0.9304/5 to limit upside in case of further rally. Meanwhile, if there is another medium term decline, strong support will likely be seen from 0.8303 to contain downside.
