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26 Feb 2015
EUR/GBP: Downside is limited
FXStreet (Guatemala) - EUR/GBP is currently trading at 0.7270 with a high of 0.7327 and a low of 0.7261.
EUR/GBP is trading below 0.7300 again and is extending the downside from 0.7840 and January's business. However, Karen Jones, chief analyst at Commerzbank noted recently that there is a 13 count on the weekly chart and TD support at 0.7282 meaning caution is required as the downside is limited.
"Below here the downside target is the 0.7235/25 an inter-year pivot. The Elliott wave count on the daily suggests that there is scope for a deeper retracement to 0.7700/.7905, but the intraday charts are more neutral. The market will remain directly offered below 0.7443 the 17th February high and will need to regain this to alleviate immediate downside pressure and suggest recovery to 0.7488/23.6% retracement then the 0.7592 February high."
EUR/GBP is trading below 0.7300 again and is extending the downside from 0.7840 and January's business. However, Karen Jones, chief analyst at Commerzbank noted recently that there is a 13 count on the weekly chart and TD support at 0.7282 meaning caution is required as the downside is limited.
"Below here the downside target is the 0.7235/25 an inter-year pivot. The Elliott wave count on the daily suggests that there is scope for a deeper retracement to 0.7700/.7905, but the intraday charts are more neutral. The market will remain directly offered below 0.7443 the 17th February high and will need to regain this to alleviate immediate downside pressure and suggest recovery to 0.7488/23.6% retracement then the 0.7592 February high."