To receive Ilya's analysis directly via email, please SIGN UP HERE
Talking Points:
- EUR/GBP Technical Strategy: Flat
- Support: 0.7153, 0.7052, 0.6950
- Resistance: 0.7223, 0.7279, 0.7356
The Euro may be preparing to move higher against the British Pound after forming an Inverted Hammer candlestick. A daily close above horizontal pivot support-turned-resistance at 0.7222 exposes the 23.6% Fibonacci expansion at 0.7279. Alternatively, a push below the 38.2% Fib at 0.7153 opens the door for a challenge of the 50% expansion at 0.7052.
Prices are too close to support to justify entering short from a risk/reward perspective. On the other hand, the absence of a defined bullish reversal signal suggests that taking up the long side is premature. With that in mind, we will remain flat for now.
Add these technical levels directly to your charts with our Support/Resistance Wizard app!
Daily Chart - Created Using FXCM Marketscope
--- Written by Ilya Spivak, Currency Strategist for DailyFX.com