Forex Trading Library

EURGBP – Further Upside Likely After Channel Break

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Monthly: A bullish ascending wedge has formed on the monthly chart. The pair remains in a bullish phase and we expect dips to continue being bought. The next major resistance is at 0.9306. Prices above that level look for a move towards the 2008 highs at 0.9804.

Weekly: The pair looks to have broken out of a falling wedge pattern. Support was found at the 61.8% retracement level at 0.8682. The bullish engulfing candle on the week beginning 18th June 2018 triggered a fresh buying spree. We expect to see a push towards previous highs at 0.9306

Daily: Here movement looks to have broken out of the channel formation to the upside. The trading sequence is higher highs and lows. Our outlook is bullish. We look for a re-test of the downward trending support

Action: We look to buy at 0.8845

Stop: 0.8790

Targets: 0.9065

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