EUR/GBP Daily Outlook

EUR/GBP Daily Outlook

Daily Pivots: (S1) 0.8225; (P) 0.8237; (R1) 0.8252; More....

Intraday bias in EUR/GBP remains neutral for the moment. Also, we'd continue to expect strong support from 0.8164 to bring reversal. Above 0.8286 will turn bias back to the upside for 0.8349. Break of 0.8349 should indicate that the larger corrective pattern from 0.8806 has possibly completed and will turn outlook bullish for 0.8466 resistance next. However, again, decisive break of 0.8164 will have larger bearish implication and would pave the way to 0.8 psychological level.

In the bigger picture, we're still preferring the case that correction from 0.9799 has completed with three waves down to 0.7755 already. Rise from 0.7755 isn't completed yet and should resume after finishing the consolidation pattern from 0.8806. Above 0.8806 will target 0.9083 key resistance level and break will confirm this bullish case. However, break of 0.8164 cluster support (61.8% retracement of 0.7755 to 0.8806 at 0.8156) will invalidate this view and turn medium term outlook bearish for 0.7755 low.