The price of EURGBP has reached a strong resistance area.The combination between the main trend's line, 61.8 Fibo retrace and 0.8100 round number, could end up being a reversal area for the price of this pair.
EURUSD bounced back before hitting 1.1500. Now is testing a local trend line, but I am expecting it to not hold bears pressure. I am expecting the price to continue dropping towards the 61.8 Fibonacci retracement before another rally.
In my previous analysis I was saying about some bullish signals. All were invalidated by the dip triggered after the ADP release (200k, above expectations). Now the price reached the PRZ of a Cypher pattern. A bounce from here could send the price back towards 1128/30 dollars per ounce.
False break below support area, possible hammer, positive divergence on the 14 RSI, Falling Wedge - these are some bullish signals which might announce a rally for gold. The probability for an up move to start will increase once the upper line of the wedge is broken. First target for a rally would be the 38.2 Fibo level. I will consider this idea invalidated if...
EURUSD traded during the Asian session below 1.1270 resistance. My idea was that it will continue towards 1.1290. At this point I would revise this view. A close of this hour, before the London opening, below the up trend line would signal a bearish move which could end up testing 1.1200 area.