Trade of the Day: EUR/GBP

By: Dima Chernovolov

EUR/GBP continues to rise inside the 15-minute Up Channel chart pattern which was previously identified by Autochartist. Autochartist rates the quality of this Up Channel at the 3-bar level – which is the result of the slow Initial Trend (1 bars), significant Clarity (7 bars) and lower Uniformity (2 bars). EUR/GBP is expected to rise further inside this Up Channel.

As can be seen from the daily EUR/GBP chart below – the pair earlier reversed up from with the daily Hammer from the support area located between the key support level 0.8575 (which has been reversing the price from the start of May) and the lower Bollinger Band. The proximity of this support area increases the probability EUR/GBP will continue to rise inside this 15-minute Up Channel.