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EUR/GBP: going down?

EUR/GBP: going down?

Information is not investment advice

Brexit is still hanging. The EU Summit didn’t give any conclusive signal to the UK. Nor did the European Union’s member states come to an agreement between themselves no how hard they should stick to the red lines and how impenetrable those red lines are for the EU. In any case, Boris Johnson is supposed to decide whether he wants to walk away from the negotiations or continue them – today. The day has just begun in the UK and EU, and hours are ticking.

In the meantime, EUR/GBP is going further and further down pressed by the channel resistance. In the last episode, the currency pairbounced downwards from 0.9080. If the logic of the movement stays the say, we will see 0.9000 reached pretty soon. But the day isn’t over and the tension is high: reversals are possible in all directions. That’s why watch 0.9040 on the downside as well, and look for trend reversal chart formations to make sure there is no surprise from bulls. Or bears.

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