To receive Ilya's analysis directly via email, please SIGN UP HERE
Talking Points:
- EUR/GBP Technical Strategy: Flat
- Support: 0.7060, 0.6930, 0.6863
- Resistance: 0.7141, 0.7206, 0.7271
The Euro stalled after correcting downward against the British Pound having broken a trend line capping gains since early May. Near-term resistance is at 0.7141, the 38.2% Fibonacci retracement, with a break above that on a daily closing basis exposing the 50% level at 0.7206. Alternatively, a move below the 23.6% level at 0.7060 clears the way for a test of the 0.6930-50 area (July 17 and August 5 lows).
Positioning is inconclusive at this point, with prices offering no clear-cut and actionable signal to initiate a long or short trade. We will continue to remain on the sidelines for the time being, waiting for a compelling opportunity to present itself.
Add these technical levels directly to your charts with our Support/Resistance Wizard app!
--- Written by Ilya Spivak, Currency Strategist for DailyFX.com
