EUR/GBP Price Forecast March 14, 2018, Technical Analysis

The EUR/GBP pair has been very noisy again during the trading session on Tuesday, as we are using the 0.8850 level as support. I believe that we will eventually break down below there and go looking towards the massive support. The massive support that I see down at the 0.88 level would course be much more important, because it appears on longer-term charts. Ultimately, I think that we will find buyers in that range, but at this point it looks as if the market is trying to stairstep down to that level. That means that we will get choppy trading with a slightly negative bias, and that patience will be needed as this won’t be the quick move that many of you would hope for.

With the negotiations going on between the European Union and the United Kingdom, it’s likely that we will need to pay attention to the headlines coming out of the mouths of politicians, not necessarily the easiest thing to do at times, as it’s an undefined variable. However, I do think that longer-term we will see the pair go higher, as there will probably be easier to go long of a currency that we understand, as opposed to an economy that is changing drastically. I don’t necessarily think that we are going to see some type of massive melt up, just that the buyers underneath will continue to pick this market, with resistance being at the 0.90 handle. If we do break above there, I think the next target will be the 0.93 level.

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