EURGBP – Fresh bulls penetrate into daily cloud; 0.9000+ advance likely n/t scenario
|EURGBP
The cross advances through key barrier at 0.8938 (02 Nov post-BoE rally peak) to fully retrace 0.8938/0.8791 downleg and signal extension of recovery leg from 0.8791 trough. Today's bullish acceleration penetrated into thick daily cloud (spanned between 0.8927 and 0.9026) and cracked 100SMA (0.8945), as pound was hit by weaker than expected UK data while the Euro was inflated by upbeat Italian data. Fresh bullish momentum is building on daily chart with daily MA's turning into full bullish setup which could boost the pair for advance through psychological 0.9000 barrier and test of key short-term barriers at 0.9022/32 (peaks of 20/12 Oct/daily cloud top). Close above broken cloud base is needed to confirm bullish signals while alternative scenario requires return below 30SMA (0.8890) to turn near-term focus lower.
Res: 0.8975; 0.9000; 0.9022; 0.9032
Sup: 0.8927; 0.8890; 0.8872; 0.8856
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers.