Daily Pivots: (S1) 0.8811; (P) 0.8841; (R1) 0.8876; More…
Intraday bias in EUR/GBP remains on the upside. Current rise from 0.8620 is in progress for 0.8967 cluster resistance (50% retracement of 0.9305 to 0.8620 at 0.8963). On the downside, below 0.8829 minor support will turn intraday bias neutral first and bring consolidation. But downside should be contained above 0.8724 support to bring another rally.
In the bigger picture, for now, the decline from 0.9305 is seen as a leg inside the long term consolidation pattern from 0.9304 (2016 high). Such consolidation pattern could extend further. Hence, in case of strong rally, we’d be cautious on strong resistance by 0.9304/5 to limit upside. Meanwhile, in another decline attempt, we’d expect strong support from 0.8116 cluster support (50% retracement of 0.6935 to 0.9304 at 0.8120) to contain downside.
