EUR/GBP: Upside correction remains in force – Commerzbank

In view of Karen Jones, analyst at Commerzbank, for the EUR/GBP cross, the correction higher remains in force and capable of gains to .8838/90, where they are looking for failure.

Key Quotes

“Below .8700 attention will revert to the .8620/18 2018 and 2019 lows. Failure at .8620/18 would suggest ongoing weakness to the base of the channel at .8545 and potentially the 200 week ma at .8349.”

“The market stays directly offered below the 200 day ma at .8864, and only above here allows for a move to the 55 day ma at .8899 and this, together with the October .8941 high, are expected to contain the topside.”

“Above .9101/20 would target the top of the 2016-2019 channel at .9158.”