Trade of the Day: EUR/GBP

EUR/GBP recently broke the key 30-minute support level 0.8616, which was recently identified by Autochartist. Autochartist rates the quality of this support level at the 4-bar level – which is the result of the four earlier reversals from this price level. EUR/GBP is expected to fall toward the forecast level 0.8598.

As can be seen from the daily EUR/GBP chart below – the pair earlier reversed down from the key resistance level 0.8660 (former strong support from May, which has been reversing the pair from the end of June) standing near upper daily Bollinger Band and the 38.2% Fibonacci correction of the downward impulse from April. The proximity of the resistance level 0.8660 adds to the probability EUR/GBP will continue to fall toward the forecast level 0.8598.