DailyFX.com – Ilya’s analysis can be received directly via email by signing up on the website.
Talking Points:
– EUR/GBP Technical Strategy: Flat
– Support levels: 0.7399, 0.7302, 0.7205
– Resistance levels: 0.7459, 0.7507, 0.7556
The Euro has been declining against the British Pound for the past three days, with sellers targeting levels below 0.74. Near-term support is at 0.7399, the 76.4% Fibonacci expansion, while a break below may expose the 100% level at 0.7302. On the other hand, a reversal above the 61.8% Fib at 0.7459 could lead to a test of the 50% expansion at 0.7507.
Due to the close proximity of prices to support and resistance levels, it is not advisable to take a trade on either side at the moment. It is best to wait for a more favorable opportunity.
For those interested, technical levels can be added directly to charts using the Support/Resistance Wizard app.
The daily chart was created using FXCM Marketscope.
Written by Ilya Spivak, Currency Strategist for DailyFX.com.
DailyFX offers forex news and technical analysis on trends that impact the global currency markets. Practice forex trading with a free account and trading charts from FXCM.