Elliott wave analysis of EUR/GBP for April 23 - 2020

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EUR/GBP broke above resistance at 0.8793 indicating that a low already is in place at 0.8675 and a new impulsive rally is in motion to above the former peak at 0.9499. Short-term we expect minor support near 0.8765 will be able to protect the downside for renewed upside pressure through resistance at 0.8867 that is the neck-line of a S/H/S bottom and a break above here will target at least 0.9067, but this rally could easily extend much higher.

Short-term look for a break above minor resistance at 0.8809 as indication that the upside pressure has resumed and the neck-line at 0.8867 will be tested shortly.

R3: 0.8914

R2: 0.8868

R1: 0.8811

Pivot: 0.8780

S1: 0.8765

S2: 0.8743

S3: 0.8713

Trading recommendation:

We bought EUR at 0.8765 and we have placed our stop at 0.8670

The material has been provided by InstaForex Company - www.instaforex.com