EURGBP → Formation of a pre-breakout consolidation

28 Jun 2023

EURGBP a week earlier forms a break of the resistance of the descending price channel. A consolidation of 0.86000-0.85400 is forming. We see consolidation at the resistance. What to expect from the price?



Most likely, the price will continue to test resistance 0.86067. Pre-break consolidation is forming, which can be interpreted as another attempt of price exit from the range, followed by the strengthening of the currency pair.
Moving averages are beginning to narrow and if the conditions are favorable, they may soon form a signal that confirms the intention of the market to change the trend.
A breakout at 0.8606767 will send the price to 0.86722, but if the breakout does not happen, correction to the trend support will be formed.

Resistance levels: 0.86067, 0.86345, 0.86722
Support levels: 0.85725, trend support
The market is showing good dynamics and consolidation confirms the intention of the buyers. I am waiting for breakthrough of resistance with the subsequent growth.

Regards R. Linda!

28 Jun 2023

Catatan