EUR/GBP surged to as high as 0.8530 last week but pulled back sharply since then. Note that 0.8316 support remains intact and hence, we'd still favor the case that rise from 0.8067 is not finished. A break above 0.8466 minor resistance will flip intraday bias back to the upside for 0.8530 and then 0.8601 resistance. However, break of 0.8316 will argue that another low below 0.8067 would be seen before EUR/GBP bottoms.

In the bigger picture, whole decline from 0.9799 is viewed as a three wave correction from to the larger up trend. Such correction might have completed at 8067 already, inside mentioned 0.7693/8186 support zone. Focus remains on 0.8601 support turned resistance. Decisive break there will further affirm the case that long term up trend in EUR/GBP is resuming and will target 0.9410 resistance for confirmation. On the downside, in case of another fall, we'd continue to focus on reversal signal inside 0.7693/8186 support zone.

In the long term picture, correction from 0.9799 is expected to be contained by 0.7963/0.8186 support zone and bring up trend resumption. Rise from 0.5680 is still expected to extend beyond 0.9799 high eventually.

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