EUR/GBP is extending gains after break above 200-DMA in previous week's trade.
Upside has paused shy of major resistance at 0.8970 (falling trendline).
Technical studies are biased higher and we see scope for further upside on break above trendline.
RSI is strong around 64 levels and biased higher. Stochs show bullish momentum. We see +ve DMI dominance and MACD also supports upside.
Break above 0.8970 (trendline) raises scope for test of 61.8% Fib at 0.9069.
On the flipside, 5-DMA at 0.8925 is immediate support. Break below could test 200-DMA at 0.8887. Violation at 200-DMA invalidates bullish bias.
Support levels - 0.8925 (5-DMA), 0.8887 (200-DMA), 0.8863 (20-DMA)
Resistance levels - 0.8970 (trendline), 0.90, 0.9014 (Nov 15 high), 0.9070 (61.8% Fib retrace of 0.9306 to 0.8686 fall)
Good to go long on breakout at trendline resistance at 0.8970, SL: 0.89, TP: 0.90/ 0.9070/ 0.91.
Upside has paused shy of major resistance at 0.8970 (falling trendline).
Technical studies are biased higher and we see scope for further upside on break above trendline.
RSI is strong around 64 levels and biased higher. Stochs show bullish momentum. We see +ve DMI dominance and MACD also supports upside.
Break above 0.8970 (trendline) raises scope for test of 61.8% Fib at 0.9069.
On the flipside, 5-DMA at 0.8925 is immediate support. Break below could test 200-DMA at 0.8887. Violation at 200-DMA invalidates bullish bias.
Support levels - 0.8925 (5-DMA), 0.8887 (200-DMA), 0.8863 (20-DMA)
Resistance levels - 0.8970 (trendline), 0.90, 0.9014 (Nov 15 high), 0.9070 (61.8% Fib retrace of 0.9306 to 0.8686 fall)
Good to go long on breakout at trendline resistance at 0.8970, SL: 0.89, TP: 0.90/ 0.9070/ 0.91.