EUR/GBP holds 20-DMA support, good to go short on break below
EUR/GBP is extending declines from 7-month highs at 0.8866 hit last week.
Technical indicators have turned slightly bearish, RSI and Stochs are biased lower.
MACD line is showing a bearish crossover on signal line.
The pair is currently holding 20-DMA support at 0.8724, we see weakness on break below.
Scope then for test of 0.8648 (38.2% Fib of 0.8297 to 0.8866 rally). Violation there will see test of 100-DMA at 0.8614.
Bearish invalidation on break above 0.8845 (channel top resistance).
Support levels - 0.8724 (20-DMA), 0.8648 (38.2% Fib of 0.8297 to 0.8866 rally), 0.8614 (200-DMA)
Resistance levels - 0.8765 (5-DMA), 0.88, 0.8845 (channel top)
Good to go short on break below 0.8724, SL: 0.8765, TP: 0.87/ 0.8650/ 0.8615
Technical indicators have turned slightly bearish, RSI and Stochs are biased lower.
MACD line is showing a bearish crossover on signal line.
The pair is currently holding 20-DMA support at 0.8724, we see weakness on break below.
Scope then for test of 0.8648 (38.2% Fib of 0.8297 to 0.8866 rally). Violation there will see test of 100-DMA at 0.8614.
Bearish invalidation on break above 0.8845 (channel top resistance).
Support levels - 0.8724 (20-DMA), 0.8648 (38.2% Fib of 0.8297 to 0.8866 rally), 0.8614 (200-DMA)
Resistance levels - 0.8765 (5-DMA), 0.88, 0.8845 (channel top)
Good to go short on break below 0.8724, SL: 0.8765, TP: 0.87/ 0.8650/ 0.8615
But weakness only on break below 20-DMA.