#EURGBP @ 0.87709 remains pressured after refreshing 19-month high the previous day., @nehcap view: Pullback expected (Pivot Orderbook analysis)

…
This is a premium post.
[s2If !current_user_can(access_s2member_level4)]Please register for PREMIUM VERSION HERE to read full post below containing analysis. In case of any error or you think you are not able to read the full post below, please email us at support#nehcap.com [lwa][/s2If] [s2If current_user_can(access_s2member_level4)]

• EUR/GBP remains pressured after refreshing 19-month high the previous day.
• Overbought RSI adds strength to the pullback moves targeting the previous double-top.
• Bulls can aim for late 2020 lows beyond 0.8785.

The pair currently trades last at 0.87709.

The previous day high was 0.8788 while the previous day low was 0.8747. The daily 38.2% Fib levels comes at 0.8772, expected to provide resistance. Similarly, the daily 61.8% fib level is at 0.8763, expected to provide support.

EUR/GBP reverses from a nine-month-old resistance as it drops to 0.8768 during early Tuesday morning in Europe. In doing so, the cross-currency pair also respects the overbought RSI conditions, as well as sluggish MACD.

That said, the quote’s latest weakness eyes the previous double tops, now the key support around 0.8720.

However, the 0.8700 threshold and a two-week-old support line around 0.8660 could restrict the EUR/GBP pair’s further downside.

In a case where the pair breaks the 0.8660 support, the odds favoring its slump towards the monthly low surrounding 0.8565 can’t be ruled out.

Alternatively, an upside clearance of the stated resistance line, at 0.8785 by the press time, needs validation from the 0.8800 round figure to direct the pair buyers towards the late 2020 swing lows around 0.8865-70.

It’s worth noting that the EUR/GBP run-up beyond 0.8870 won’t hesitate to challenge the 0.9000 psychological magnet.

Overall, EUR/GBP is likely to witness a pullback from the multi-day high but the bullish trend is likely to prevail.

Trend: Pullback expected

Technical Levels: Supports and Resistances

EURGBP currently trading at 0.877 at the time of writing. Pair opened at 0.8772 and is trading with a change of -0.02% % .

The pair remains strongly bullish on the daily timeframe. It trades above its 20 SMA @ 0.8617, 50 SMA 0.8514, 100 SMA @ 0.8527 and 200 SMA @ 0.8452.

The previous day high was 0.8788 while the previous day low was 0.8747. The daily 38.2% Fib levels comes at 0.8772, expected to provide resistance. Similarly, the daily 61.8% fib level is at 0.8763, expected to provide support.

Note the levels of interest below:

• Pivot support is noted at 0.875, 0.8729, 0.871
• Pivot resistance is noted at 0.8791, 0.8809, 0.8831

[/s2If]
Join Our Telegram Group