FxWirePro: Sell EUR/GBP at rallies, down trend to resume in the short term
EUR/GBP looks choppy, although the market is set continue its down trend in the short term. Rallies at this set of time should be taken as advantage for selling opportunities, but in the medium term the market condition …
EUR/GBP looks choppy, although the market is set continue its down trend in the short term.
Rallies at this set of time should be taken as advantage for selling opportunities, but in the medium term the market condition should present a challenge to traders as both of these currencies are strengthening.
The market will more than likely be very volatile, and as a result traders should trade this pair with the caution.
Currently the Greece concerns pulls Euro down against GBP with situation in Greece far from getting resolved.
GBP has gained against major of is rivals as demand for GBP, as save heaven has increased.
EUR/GBP has broken the support at 0.7133, it is expected to test next support at 0.70924.
To the upside, the strong resistance sits near 0.7222 (50% retracement level), a break above this level would take it to upside to next resistance level at 0.72568.
Recommendation: Go short below 0.71300, targets 0.71000, 0.70700, SL 0.71700
