EUR/GBP: Testing the upward side wait for next movement

Overview: EUR/GBP is currently trading above the upper end of the falling channel, represented by trend line. The pair is moving above as from the last weeks the channel created the downward slope but suddenly, we can see that upraise can be expected. The British pound is under the pressure of the Brexit outcomes. The EU-UK talks continue without any of the development. According to the scenario the market gives the rise in GBP.

The pair has been trading inside the descending pattern but the price pattern is showing strong bullish potential hence it is very difficult to say that bulls are going to win the game as the pullback again can be expected. The pair gets the clear rise after the level 0.8897 in area and now appreciating the level 0.9000.  The pair is on course to gain 0.7% on the week. The kind of force pullback is between the bears and bulls. The bulls showing their pressure and trying to take market towards the upside again but might be it takes time.

Technical Analysis: From the technical point of view can say that the pair is currently try to take the market towards the upside as the indicator is also indicating the bullish potential in market. We can clearly see in the 4 hourly charts that market takes the upward rise now from the support level 0.8929 market shows its potential towards the upward rise in market. The bullish marabuzo is also forming as it going to establish bullish momentum now. The pair is currently trading at 0.9000 levels and the indicator is also supporting the price pattern now as there is strong bullishness is created .so we can say that the short-term buyers can go for the buy but for the small term basis. On the other side 200 SMA is rising above so let’s wait for the while and have clear watch in the market steps.

THE RSI is also rising above the 50 level and creating upward rise and MACD is also above zero line in 4 hourly charts. The support level of market is 0.8895 followed by0.8825 and the resistance is 0.9061 followed by 0.9109.

Trade Idea: Traders and investors are advised to go for buy 0.8980 level and the target will be 0.9059 followed by 0.9119 and stop loss will be 0.8911.

 

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