EUR/GBP still pushing to new highs

Published date: 24/05/2019
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In unprecedented moves, we are seeing EUR/GBP trying to push to new highs again with the pivotal 0.8840 level still being tested after 3 failed attempts.  The mantra of the modern day is to try, try and try again and with the EUR having come back sharply off the low 1.1100's, the market is full of confidence that this can be achieved eventually.  

Sell orders remain in the 0.8840-50 region, so we will need a clean break above here to initiate a move on to 0.8900-10, but the cross rate is overbought on the RSIs and a deeper correction is possible, though we will need to see some good news out of the UK to see this happen.  

EUR/GBP has now posted gains for 15 consecutive sessions - something the pair has never done since the EUR's inception, and this move suggests that if we do get a reversal, it could be a sharp one, with 0.8725-0.8680 the key support zone on the way down.  

Naturally, with the political scene in the UK unnerving currency investors, the Pound is not in a good place right now, though it is worth noting that GBP has found some strong support against the USD just ahead of 1.2600 - a key level on the daily charts, and is also making a strong rebound against the CAD.  

Over the weekend, we have European election results coming out, so we may see some profit taking if we cannot break above the 0.8850 level later today.


Comments

  • EUR/GBP still pushing to new highs
    Luther says:
    24/05/2019

    I have been stopped twice now :/// I'm just gonna stop ahead of this indecision really, appreciate the deep level of technicals

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