EUR/GBP Daily Outlook

EUR/GBP Daily Outlook

Daily Pivots: (S1) 0.8524; (P) 0.8535; (R1) 0.8552; More....

Intraday bias in EUR/GBP remains on the upside as rebound from 0.8332 extends today. Consolidation from 0.8806 has completed with three waves down to 0.8332 already. Current rally should extend to 0.8652 resistance first. Break will pave the way for retesting 0.8768/8806 resistance zone. Below 0.8519 minor support will turn bias neutral first. But we'd continue to favor the bullish case as long as 0.8429 support holds.

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.