The trading-range has narrowed even more over the last 24 hours. This means EUR/GBP is trading within a range of 0.8682 - 0.8726. We see this as a build up of energy for the final dip closer to our ideal target at 0.8621 which should conclude wave 2 and set the stage for a new impulsive rally to above 0.9499.
Short-term a break above resistance at 0.8793 will confirm that wave 2 has completed and wave 3 to above 0.9499 is in motion.
R3: 0.8765
R2: 0.8745
R1: 0.8739
Pivot: 0.8702
S1: 0.8685
S2: 0.8650
S3: 0.8621
Trading recommendation:
We will buy EUR at 0.8635 or upon a break above 0.8765