FX.co ★ Elliott wave analysis of EUR/GBP for May 5, 2020

EUR/GBP is currently in a minor counter-trend correcting the first rally from 0.8671 to 0.8802 once this correction is complete near 0.8737 we expects a new impulsive rally through key-resistance at 0.8866 confirming that a new impulsive rally is developing for an ultimate break above the 0.9499 peak.

Ideally support at 0.8737 will be able to protect the downside, but a failure will bring support at 0.8721 into play as the barrier to the downside before higher again.

R3: 0.8866

R2: 0.8819

R1: 0.8792

Pivot: 0.8775

S1: 0.8752

S2: 0.8737

S3: 0.8721

Trading recommendation:

We are long EUR from 0.8765 with our stop placed at 0.8670