FxWirePro: EUR/GBP spikes past 0.90 hurdle, gains upto 61.8% Fib at 0.9183 likely
EUR/GBP chart - Trading View
EUR/GBP has edged slightly lower from 2-month highs at 0.9054, bias remains strongly bullish.
The pair was trading 0.53% higher on the day at 0.9035 at around 10:30 GMT, after closing 0.17% higher in the previous session.
Brexit uncertainty looms over sterling. Possibility of negative interest rates further weighs.
Technical analysis suggests further upside in the pair. Momentum studies are bullish and rising volatility to drive prices higher.
Price action has broken above 38.2% Fib at 0.8987. Gains upto 61.8% Fib at 0.9183 likely.
On the flipside, daily cloud offers strong support. Break below cloud base will see minor weakness. Bullish invalidation only below 110-EMA.
Support levels - 0.8966 (5-DMA), 0.8931 (Cloud top), 0.8896 (21-EMA)
Resistance levels - 0.9085 (50% Fib), 0.91, 0.9183 (61.8% Fib)