EURGBP Forms a double-top at 618 level

20 Mar 2015

Today the Euro strengthened against the Pound after forming a bullish Morning Star candlestick pattern, which has now been followed by a double-top at the 618 Fibonacci retracement level, this level could also be considered as a resistance level. This indicates a continuation of the Euro trend to the downside. The RSI (Relative Strength Index) has also created uniform action above and back below the 61.8 RSI level, which is a significant reversal and indication of market sentiment. To also add to the RSI analysis, a trend has been broken on the two previous lows.