EUR/GBP's choppy fall from 0.9153 continued last week and was a bit deeper than expected. Initial bias will remains mildly on the downside as long as 0.9095 minor resistance holds. Break of 0.8977 will dampen the original bullish view and will argue that fall from 0.9153 is resuming the fall from 0.9410. A retest of 0.8833 would then be seen first. On the upside, though, above 0.9095 will firstly indicate that rise from 0.8833 is likely resuming. This will also reaffirm the case that correction from 0.9410 is finished already. A retest of 0.9410 should then be seen after taking out 0.9153 resistance.
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. Such rise should target a test on 0.9799 first after completing the correction from 0.9410, which should b contained by 0.8704 support. Break of 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.
Forex Trader Library
Receive over 15 hours (8 CD's) of our best Forex trading education in one package! Containing the newest Advanced Forex CD, this education pack focuses on exactly what you need to know to become a successful Forex Trader.