Will it be a bullish breakout at 0.8515 on the EURGBP?
The upside pressures on the EURGBP got more tensed since the 29th of November 2016 where the price climbed from 0.8464 to 0.8530.
Today’s major pivot point area, the 0.8515 zone, is a critical level for the buyers in their attempts of boosting the price once again to the upside.
Probable Scenario
The latest stabilization of the price close to the 0.8515 level is a good indication that the bulls could likely exert momentum to retrace the pair upwards.
Stochastic oscillators’ formation signals that a probable bullish retracement at the 65 level has greater probabilities to occur.
In the event where the pair appreciates, the buyers could set their take profit target at 0.8565.
Alternative Scenario
Alternatively, a bearish break-out below the 0.8502 zone could signal that the sellers may exert far greater pressures to force the price to lower areas such as the 0.8464 level as their first target.
Today’s Major Announcements
- The CPI – Core (YoY) (Nov) and the CPI (YoY) (Nov) will likely have a strong influence on the euro
- The Bank Stress Test Results and the Financial Stability Report releases will have a medium influence on the sterling
Synopsis
· Probable trend (Bullish): 0.8515
· Bullish take profit target: 0.8565
· Stop loss target: 0.8502
· Alternative trend (Bearish): 0.8502
· Bearish take profit target: 0.8464
