EUR/GBP Analysis
The upward trajectory of EUR/GBP continues today, reinstating from 0.8548, with the breach of the 0.8648 support-turned-resistance indicating a potential conclusion to the descent from 0.8764. The current intraday bias leans towards an upward movement, anticipating a robust rebound towards the 0.8764 resistance. Conversely, a dip below the minor support level at 0.8597 could prompt a retest of 0.8548.
The ongoing developments imply the persistence of a downtrend initiated from the 2022 high of 0.9267. This descent is construed as the third leg within the pattern originating from the 2020 high of 0.9499. A breach of the 0.8201 level would set a target at the 100% projection of the decline from 0.9499 to 0.8201, calculated from the 0.9267 mark, culminating at 0.7969. Regardless, the bearish outlook remains intact as long as the 0.8764 resistance remains unbroken.
Analysis Summary
In summary, the EUR/GBP pair exhibits a resumption of its upward trajectory, hinting at a potential completion of the preceding decline. The intraday bias tilts towards an upward rebound unless the minor support at 0.8597 is breached. In the broader context, a sustained bearish outlook persists, contingent on the resistance at 0.8764 remaining unyielding.
Key Points
- EUR/GBP’s upward momentum signals a potential conclusion to the prior descent.
- Intraday bias favors an upward rebound, contingent on the non-violation of the 0.8597 support.
- The overarching bearish outlook endures, with 0.8764 resistance as the critical threshold.
