EUR/GBP: Below 0.7750, Opens 0.7660/00 - Lloyds Bank
Analysts from Lloyds Bank expect the EUR/GBP pair to drop toward at 0.7660 - 0.7600 in the short-term, particularity if it breaks under 0.7750.
Key Quotes:
“We
saw capitulation on Friday, with a sharp extension lower of the move
from 0.81/0.82 key resistance. 0.7750 support is holding with intra-day
studies suggesting a stronger bounce is possible today. However, a move
back through 0.7855/0.7895 is needed to alleviate the bear pressure. A
decline through 0.7750 opens the way to our current targets of
0.7660-0.7600.”
“Medium term, the trend from the 0.6935 lows set
in July 2015 is starting to show signs of reversal. We are clearly
through key daily trend supports, but we haven’t broken any major lows
yet. A close through 0.7660 would be the first of these to watch for.
Then our focus will be on weekly trend support at 0.7590.”
