EUR/GBP has just completed the high Quality daily Pennant chart pattern identified by Autochartist. The Quality of this chart pattern is rated at the 7 bar level, as a result of the high values of all the quality indicators that contribute to its values: maximum Initial Trend and Clarity (both rated at the10 bar level), and the strong Uniformity of this chart pattern (measured at the 8 bar level). This chart pattern continues the long-term uptrend visible on the daily and the weekly charts.
The high Quality of this Pennant corresponds to the sharp upward impulse that preceded this chart pattern. This upward impulse started from the combined support made out of the long-term uptrend support line (which is a lower boundary of the long-term Triangle in which the correction to the long-term uptrend is developing) and the round price level 0.8300. The latest upward reversal from the 0.8350 level (making the short-term double bottom at this level and the bottom of this chart pattern) was also intensified by this major uptrend support line passing through this level. The price has just broken through the upper resistance line of this Pennant and is expect to rise further toward the Forecast Zone located between the price levels 0.8528 and 0.8661. The additional uptrend signal given on the 240-minute chart shown below increases the chances that the uptrend will continue in the coming sessions.
The 240-minute EUR/GBP chart also shows completed high Clarity continuation chart pattern Triangle. The Clarity of this chart pattern is rated at the 7 bar level. The price has just broken the upper resistance trend line of this Triangle. The pair is expected to continue the upward movement toward the Forecast Area set between levels 0.8462 and 0.8508.
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