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9 Feb 2016
EUR/GBP is undergoing a pause - SocGen
Research Team at Societe Generale, suggests that after having achieved 0.7750 levels, EUR/GBP has been undergoing a pause.
Key Quotes
“The pair has sustained above the confirmation level of the double bottom and inverted H&S at 0.75/0.7450 which remains an important support. Recently, the pair has rebounded after testing a multi month trend support (currently at 0.76) and is now closing in on January highs of 0.7750.
It is noteworthy that it has completed a typical 3-year down cycle earlier and further recovery
looks on cards however a break beyond 0.7750 will be needed to signal a larger pullback towards September 2014 highs of 0.8070/0.81.”
Key Quotes
“The pair has sustained above the confirmation level of the double bottom and inverted H&S at 0.75/0.7450 which remains an important support. Recently, the pair has rebounded after testing a multi month trend support (currently at 0.76) and is now closing in on January highs of 0.7750.
It is noteworthy that it has completed a typical 3-year down cycle earlier and further recovery
looks on cards however a break beyond 0.7750 will be needed to signal a larger pullback towards September 2014 highs of 0.8070/0.81.”