Elliott wave analysis of EUR/GBP for April 29 - 2020

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Low volatility and range-trading is dominating the picture here. In the last 24 hours, EUR/GBP has been trading in a narrow range between 0.8688 - 0.8725, but this low volatility trading is likely a precursor for upside acceleration once minor resistance at 0.8734 and more importantly resistance at 0.8769 is broken. Ultimately, we are looking for a rally above 0.9499. When this corrective decline from 0.8867 is completed, the next impulsive rally takes hold.

Only an unexpected break below 0.8675 will change the 0.8621 corrective target.

R3: 0.8867

R2: 0.8769

R1: 0.8737

Pivot: 0.8724

S1: 0.8709

S2: 0.8675

S3: 0.8621

Trading recommendation:

We are long EUR from 0.8675 with our stop placed at 0.8670. An unexpected break might occur below 0.8670. We will re-buy EUR at 0.8630

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