theforexportal

Which way for EUR/GBP - can it break the channel?

Short
FX:EURGBP   Euro / British Pound
Since early April EUR/GBP has been stuck in a 200 pip channel. Currently price is pushing the upper line of the channel and this week we saw WR1 pivot taken out and price reaching WR2. RSI readings on all time frames are over 60 other than D1 (58) and M15 is reading 70. The Daily R1 pivot is at .8873 which is 10 pips from where we are now. GBP is generally BEARISH but EUR is drifting sideways rather than pushing higher.
Difficult to call the direction on where we might be headed next. German Prelim. GDP hit target so no clues there. So far the channal is holding but I suspect we could be headed lower from these levels for a retest of the bottom channel. I'm looking for SHORT trades only as there seems little mileage in LONG trades. A shift in sentiment favouring the GBP could see a nice SHORT trade - lets wait and see.