After dipping to 0.8833, EUR/GBP rebounded strongly last week and closed above 0.9 level. The break of near term falling trend line resistance indicates that whole corrective fall form 0.9410 has possibly completed already after touching 0.8837 support. Initial bias will remain on the upside this week as long as 0.8946 minor support holds. Break of 0.9064 resistance will confirm this case and target a test on 0.9410 resistance next. On the downside, below 0.8946 minor support, however, will argue that another low might be seen before correction from 0.9410 concludes.

In the bigger picture, medium term correction from 0.9799 has completed with three waves down to 0.8399 already and rise from there is tentatively treated as resumption of long term up trend. As fall from 0.9410 is treated as correction to rise from 0.8399 only, it's expected to conclude in 0.8704/8837 support zone. Above 0.9064 will indicate that such correction has completed and rise from 0.8399 is possibility resuming for a retest of 0.9799 high first. Break of 0.9799 will bring rally to next medium term target at 61.8% projection of 0.6535 to 0.9799 from 0.8399 at 1.0416. We'll hold on to this bullish view as long as 0.8704 support holds.

In the long term picture, long term up trend in EUR/GBP might be resuming as correction from 0.9799 has completed at 0.8399. Decisive break of 0.9799 high will confirm this bullish view and target 261.8% projection of 0.5680 to 0.7258 from 0.6535 at 1.0666.

EUR/GBP

EUR/GBP

EUR/GBP

EUR/GBP