8 Feb 2017

EUR/GBP - LOOKING FOR A DOWNSIDE BREAK

EUR/GBP DAILY

The rate is putting pressure on the 2-year-long falling trendline support. A downside break is essential for the next drop towards the potential large head and shoulders pattern neckline at 0.8300.

I am looking for a break below 0.8490 to enter a small short position to target the 0.8300 base.

A sharp rejection higher would indicate further range trading and a likely move up towards at least the last week's highs around 0.8640 and would invalidate my immediate bearish bias on the pair.






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