EUR/GBP Technical Analysis: Euro Drop Extends for 8th Day
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- EUR/GBP Technical Strategy: Short at 0.7341
- Support: 0.6989, 0.6847, 0.6759
- Resistance: 0.7131, 0.7219, 0.7290
The Euro continues to slide against the British Pound, with prices sinking for an eighth consecutive day. Near-term support is at 0.6989, the 100% Fibonacci expansion, with a break below that on a daily closing basis exposing the 123.6% level at 0.6847. Alternatively, a turn above the 76.4% Fib at 0.7131 clears the way for a challenge of 0.7219, the intersection of a falling the trend line and the 61.8% expansion.
We sold EURGBP at 0.7341 and subsequently booked profit on half of the position. The remainder of the positioning remains open to capture any further downward momentum. The stop-loss has been trailed to the breakeven level (0.7341).
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Daily Chart - Created Using FXCM Marketscope
--- Written by Ilya Spivak, Currency Strategist for DailyFX.com
DailyFX provides forex news and technical analysis on the trends that influence the global currency markets.