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Bullish Focus Despite Pullback

EURGBP TECHS
  • RES 4: 0.8627 High Jul 4
  • RES 3: 0.8585 High Jul 21 and a key resistance
  • RES 2: 0.8525 High Jul 25
  • RES 1: 0.8512 High Aug 19
  • PRICE: 0.8446 @ 06:20 BST Aug 23
  • SUP 1: 0.8435 Low Aug 22
  • SUP 2: 0.8388/40 Low Aug 17 / 2 and the bear trigger
  • SUP 3: 0.8313 Low Apr 22
  • SUP 4: 0.8278 2.0% 10-dma envelope and low Apr 14

EURGBP rallied Friday and the move higher resulted in a break of 0.8493, the Aug 12 high. This threatens the recent bearish theme and signals scope for an extension higher, despite yesterday’s pullback. The cross has traded above the 20- and 50-day EMAs, reinforcing a developing bullish theme. A continuation higher would open 0.8525, Jul 25 high. Initial key support is at 0.8388, the Aug 17 low. A break would reinstate a bearish theme.

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