EUR/GBP Price Forecast March 28, 2018, Technical Analysis

The EUR/GBP pair rallied on Tuesday, reaching towards the 0.88 level, an area that has been important in the past. If we can break above there, I think that we go to the 0.89 level over the longer term, but I also recognize of this pair will continue to be choppy as we have the negotiations going on between the European Union and the United Kingdom. There are of course will be a lot of headline risks, and that of course will continue to make this market difficult to deal with the times. However, if you look at the longer-term charts, we are most certainly consolidating between the 0.90 level above and the 0.87 level underneath. I believe it continues to be the same, so perhaps using a range bound trading strategy will be the best way.

If we were to break down below the 0.87 level, the market should then go down to the 0.86 handle. Ultimately, I think that the next couple of months will be crucial in this market, and I think because of this we will continue the overall choppiness, so I think that the status quo continues, so this makes an excellent market for short-term traders to be involved in, and I think that the market will continue to be very good for those so inclined. I would be relatively quick to take profits, but this is a market that continues to offer plenty of opportunities and the situation should remain the same for months.