EUR/GBP Forecast December 5, 2016, Technical Analysis

The EUR/GBP pair fell on Friday, testing the hammer that had formed on Thursday. We still have plenty of support below though, and it’s not until we get below the 0.8350 level that I would consider that this market should go lower. Any rally at this point should be a selling opportunity on signs of exhaustion. I.e. have no interest in buying this pair until we get above the 0.87 level on a daily close. Ultimately, this is a market that should continue to favor the British pound as the Euro is so soft at the moment.