FX.co ★ Elliott wave analysis of EUR/GBP for March 19 - 2020

The uncertainty due to the coronavirus pandemic continues to weigh on the financial markets. All assets are being sold except for cash - cash is king. However, not all currencies are kings. The major safe-haven currencies USD, JPY, CHF, and EUR gets the benefit of the doubt and are racing higher. The Corona pandemic is so rare an event, that it has the power to change otherwise solid counts and change the lager picture, which we have just seen for the EURGBP cross. What looked like a safe bet - to sell EUR - has proved itself to be a wrong with the break above the August 2019 peak at 0.9324, which calls for wave 5/ higher to 0.9742 as the next possible upside.

Support is now seen at 0.9423 and 0.9270.

R3: 0.9742

R2: 0.9596

R1: 0.9523

Pivot: 0.9467

S1: 0.9423

S2: 0.9377

S3: 0.9270

Trading recommendation:

We bought GBP at 0.9190