FXWIREPRO: EUR/GBP Holds Minor Support at 0.7857, Weakness Only on Breaks Below
- EUR/GBP holds above hourly 10 DMA support at 0.7857, weakness seen only on breaks below.
- The pair is currently trading around 0.7862, technicals on hourly charts indicate further gains.
- Support and resistances are aligned at 0.7857 (1H 10DMA) and 0.7871 (session highs Mar 28th) respectively.
- Upside finds stiff resistance at 0.79 level, daily Techs are biased lower. Stochs show a rollover from overbought zone and the MACD line is on the verge of a bearish crossover on signal line.
- On the medium-term perspective, Brexit risks will keep GBP weak vs its peers. Also as the domestic economy has lost some momentum the BoE is likely to remain on hold until Q4.
- U.S. nonfarm payrolls due Friday ahead of April's FOMC meeting will drive further action in the pair.
Trade idea: Buy dips around 0.7860, SL: 0.7830, TP: 0.7885/0.79
The material has been provided by InstaForex Company - www.instaforex.com