Pair: EUR/GBP (euro pound).
Expertise: technical analysis / forecast.
Average time frame of trades: 1 day.
Pivot Point: 0.8639.
The EUR/GBP has rebounded from a strong support at 0.8600 (in March 5, 2013 at 11:00 GMT+2), it is now approaching its support around the spot between 0.8600 and 0.8575. Upside movement at this area will probably start and recovery again. Moreover, the moving average (200) calls for a new whole rising in this level. Therefore, it should bid at a lower price to buy at this spot with a first target of 0.8650 and continue towards 0.8690. On the other hand, a break of 0.8570 will be a good location for placing stop loss.
Strong levels:
0.87080, 0.86890, 0.8635
0.85580, 0.85890, 0.8607
Observations:
Sellers asking for a high price. In the point 0.8690 a strong resistance will be formed.
Buyers bidding at a lower price. In the point 0.8600 a strong support will be formed.
Range: 75 pips
A risk to reward ratio of 1:1.5 is recommended. Risk of 75 pips must make a profit of 112.50.
If you have any questions or requests, please feel free to contact me: mourad.elkeddani@analytics.instaforex.com.
