EUR/GBP outlook: The cross is spiraling lower after larger bulls stalled
|EUR/GBP
The cross is holding firmly in red for the second day and falls deep into thick daily cloud after Monday's rally stalled ticks ahead of key Fibo barrier at 0.9182 (61.8% of 0.9498/0.8670 fall) and left 13-week high at 0.9175. Subsequent weakness on Tuesday (down 0.9% for the day) generated strong negative signal on formation of bearish engulfing pattern. Falling momentum is approaching negative territory border line daily chart, stochastic and RSI are heading south and supporting fresh bears which eye key supports at 0.8998/82 (20DMA/Fibo 38.2% of 0.8670/0.9175). Break of these levels is needed to confirm reversal and open way for deeper correction.
Res: 0.9045; 0.9084; 0.9144; 0.9175
Sup: 0.9020; 0.8998; 0.8982; 0.8948
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