0
167
The Euro appears to be resuming its long-term down trend against the
British Pound following the appearance of a bearish Three Inside Down
candle pattern. Near-term support is at 0.7804, 23.6% Fibonacci
expansion, with a break below that on a daily closing basis exposing the
0.7761-65 area marked by the 38.2% and the September 30 low.
Alternatively, a reversal above 0.7856-69 area (Triangle floor, 38.2%
Fib retracement) clears the way for a test of the 50% threshold at
0.7891.
Prices are too close to support to justify entering short from a
risk/reward perspective and we have established a pending order to sell
the pair at 0.7839. If triggered, the position will initially target
0.7804 with a stop-loss activated on a daily close above 0.7873.
| Resistance | Support |
|---|---|
| 0.7869 | 0.7804 |
| 0.7891 | 0.7761 |
| 0.7926 | 0.7727 |
