EUR/GBP: Base finally established above 0.8861/65 – Credit Suisse

Above 0.8861/65, the EUR/GBP pair confirms a base with resistance at 0.8976/94, according to the Credit Suisse analyst team.

Key quotes

“With daily MACD momentum having turned higher a while ago, we maintain our bullish outlook with resistance seen next at 0.8976/94 – the 38.2% retracement and ‘neckline’ to the March top.” 

“Whilst we would expect the resistance at 0.8976/94 to cap at first, we would look for a break in due course, with the ‘measured base objective’ seen at 0.9057 and with the 50% retracement of the fall from March at 0.9077.” 

“Support is seen at 0.8921/14 initially, below which can see a fall back to the ‘neckline’ to the base at 0.8864, with 0.8826/07 needing to hold to maintain the base and bullish outlook.”