EUR/GBP Price Forecast January 30, 2018, Technical Analysis

The EUR/GBP pair initially rallied during the trading session on Monday but found the 0.88 level to be a bit too resistive. The market has pulled back from there, and I think it has plenty of resistance going to the 0.8830 level. If we can clear there, then I believe that the market goes much higher, reaching towards the 0.89 level. That is essentially the “fair value” over the previous consolidation area, which extends to the 0.90 level above.

If we roll over, essentially breaking down the way though the 0.750 level, the market probably continues to go much lower, perhaps going down to the next major round number in the form of the 0.86 level which is a major support level. I believe that it makes sense we will continue to find plenty of noise in this market, but I think that the overall downtrend should continue. However, you must keep the mind open when it comes to these types of traits, as the volatility will be very noisy during the negotiations between the European Union and the United Kingdom. Overall, it does look like we are likely to drift lower, but I need to find my trigger prices violated before put money to work. In the meantime, I would anticipate that there is going to be a lot of noise, which is simply just that – noise.

Economic Calendar