FXStreet Karen Jones, head of FICC Technical analysis at Commerzbank, notes that the Outlook for the EUR/GBP on 0,8601/546 bullish.
“It was not possible for the EUR/to overcome” GBP ” to the recent High of 0,8751 clearly, since only a marginally higher High at 0,8756 was formed, which, in turn, the RSI is not confirming. Thus, the idea of a slight price setter. Above the 200-day MA 55-day MA of 0,8601/546 we remain with a positive Outlook and a possible Test of the 0,8790 March High with a potential increase to the January High of 0,8852.”
“Under the 55-day MA, the target is located on the 18. May Low, which may defended Deep from 0,8383 and if this falls, the next key support at 0,8334/04.”
** FXStreet News Editorial, FXStreet**