EUR/GBP: sell target - 0.7800
By: Dmitriy Chernovolov
- EUR/GBP reversed from resistance zone
- Next sell target - 0.7800
EUR/GBP recently reversed down from the resistance zone lying between the pivotal resistance level 0.7920 (which reversed the previous impulse waves ① and (1), as can be seen from the daily EUR/GBP chart below) and the upper daily Bollinger Band. The downward reversal from this resistance zone stopped the active intermediate impulse wave (3), which belongs to the primary upward impulse ③ from the start of this month.
Given the strength of the resistance level 0.7920 and the overbought reading on the daily Stochastic indicator - EUR/GBP can be expected to correct down from the current levels toward the next sell target at the support level 0.7800.