GBP traders may need to see what the outcome of the Parliament Brexit votes before chasing a move in EURGBP. Today in Asia, GBP is trading 0.15% higher against EUR.
Looking at the weekly EURGBP chart, the cross traced out a medium-term price top near 0.9100 in August 2018-2018 via the formation of a double top pattern. The downtrend is set to reassert itself as the day, and the weekly indicators are remaining bearish. The shift in the indicators that GBP could appreciate in the coming weeks, but we are not discounting the fact that until Brexit noise reduce we might see false breakouts/breakdowns.
Ahead of today’s vote, the cross is going to face stiff resistance between 0.8930-0.8940 above here 0.9000 and 0.9060 could possible. Any rallies to resistance at 0.9060-0.9100 should attract selling interest with support against 0.8970 serving as an initial downside target. Below here, the focus will move down to 0.8700, followed by medium-term support at 0.8650.
Flipside, a move above the double top pattern, EURGBP could rally towards 0.9225 and 0.9300.
http://www.keytomarkets.com/blog/blog/eurgbp-watching-the-scale-of-the-defeat/
Looking at the weekly EURGBP chart, the cross traced out a medium-term price top near 0.9100 in August 2018-2018 via the formation of a double top pattern. The downtrend is set to reassert itself as the day, and the weekly indicators are remaining bearish. The shift in the indicators that GBP could appreciate in the coming weeks, but we are not discounting the fact that until Brexit noise reduce we might see false breakouts/breakdowns.
Ahead of today’s vote, the cross is going to face stiff resistance between 0.8930-0.8940 above here 0.9000 and 0.9060 could possible. Any rallies to resistance at 0.9060-0.9100 should attract selling interest with support against 0.8970 serving as an initial downside target. Below here, the focus will move down to 0.8700, followed by medium-term support at 0.8650.
Flipside, a move above the double top pattern, EURGBP could rally towards 0.9225 and 0.9300.
http://www.keytomarkets.com/blog/blog/eurgbp-watching-the-scale-of-the-defeat/