EURGBP Weekly Technical Outlook
The pair has been operating in a range for much of 2017. On the weekly time frame, price action moved from the lower part of the range in the second week of May and has pushed northward to the distal area of the range. Price action is now at a key resistance area and any break of the zone to the upside is likely to target the 0.88445 area, which was last visited in mid-January 2017. The nature of the range and of the order flow context is distinct on the daily time frame.
On the H4 time frame, price action is respecting an ascending trendline (in magenta colour). However, as the price action is around a resistance zone, a rejection of the zone southward may lead to a retest of the trendline and target the 0.86995 area, the origin of the most recent upward push. This scenario appears much likely to occur as price action has found it difficult to move much farther from the last two recent highs.
Alternative technical biases:
Long-term: Northward, particularly should price action break above 0.88445
Short-term: Southward, with a retracement to the 0.86995 area.
I may be wrong. Trade safe and prosper.
KP
The pair has been operating in a range for much of 2017. On the weekly time frame, price action moved from the lower part of the range in the second week of May and has pushed northward to the distal area of the range. Price action is now at a key resistance area and any break of the zone to the upside is likely to target the 0.88445 area, which was last visited in mid-January 2017. The nature of the range and of the order flow context is distinct on the daily time frame.
On the H4 time frame, price action is respecting an ascending trendline (in magenta colour). However, as the price action is around a resistance zone, a rejection of the zone southward may lead to a retest of the trendline and target the 0.86995 area, the origin of the most recent upward push. This scenario appears much likely to occur as price action has found it difficult to move much farther from the last two recent highs.
Alternative technical biases:
Long-term: Northward, particularly should price action break above 0.88445
Short-term: Southward, with a retracement to the 0.86995 area.
I may be wrong. Trade safe and prosper.
KP
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