Morning Report

eurgbp11

The pair returned to trade above the harmonic support and 61.8% correction of CD from the harmonic pattern shown above. The only conflict for the downside move is the positive crossover on Stochastic, though areas of 0.8460-8505 were strong enough to halt the upside attempts in the past two days. In general, we see that continued trading below 0.8505 will support the downside move over intraday basis today.

The trading range for today is among the key support at 0.8290 and key resistance now at 0.8635.

The general trend over short term basis is to the downside targeting 0.7780 as far as areas of0.8965remain intact.

Support0.84400.84100.83700.83300.8290
Resistance0.84800.84600.85050.85400.8590
RecommendationBased on the charts and explanations above, our opinion is selling the pair around 0.8460 targeting 0.8370 and stop with four-hour closing above 0.8505 might be appropriate