After a long uptrend, EURGBP is in a consolidation mode and forming a pennant which is getting narrow in weekly time frame chart.
According to the technical rules, The pennant pattern break upside most of the time. In our today analysis, we will look for the possible breakout movement and expected target levels.
If you don’t know what is pennant, please visit the blog Investing.
Weekly EURGBP Technical Analysis
The pennant pattern is getting narrow and we will have to look at which side it could break.
Break of resistance could take the price towards minimum 0.9000 and break of support can lead towards 0.8500 minimum. We will close to get the earliest signal of a break.
Please have a look at weekly EURGBP technical chart below, I have mentioned the breakout zone and expected target levels.
Weekly EURGBP Price Chart
4-Hour Technical Analysis EURGBP
4-Hour analysis always helps us to get the closest picture of trend and it could give us earliest signal for the next movement.
Price is moving in s descending channel in 4-hour time frame chart.
The minimum support is at 08690 and the next resistance formation is at 0.8770.
Please go through the 4-hour technical chart below, I have created the deciding channel pattern with expected movement diagram.
4-Hour Technical Analysis Chart
EUR GBP SUPPORT & RESISTANCE LEVELS
Support 1: 0.86700
Support 2: 0.83925
Resistance 1 :0.9000
Please keep in mind, we only consider the break after the closing of candle and we confirm the candle to see the specific time frame chart candle closing. To get the charting option for live prices please visit Forexblog.
Note: Never risk more than 2% of your capital in a single trade and always trade with proper money management plan.