Elliott wave analysis of EUR/GBP for August 6, 2020

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EUR/GBP dipped below support at 0.9001 to test support near 0.8980 and started to take off again. We need a break above minor resistance at 0.9063 to confirm that a corrective low is in place for the next impulsive leg higher through the former peak at 0.9148 to rally towards 0.9193 and ideally closer to the 0.9298 target.

Support is now seen at 0.9021 and again at 0.8980.

R3: 0.9108

R2: 0.9080

R1: 0.9063

Pivot: 0.9034

S1: 0.9021

S2: 0.9006

S3: 0.8980

Trading recommendation:

Our stop at 0.9000 was hit for a nice profit of 354 pips and we are looking to buy EUR again at 0.9025 or upon a break above 0.9063 and we will place our stop at 0.8975 in both cases.

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