Support at 0.8350 still defended
EURGBP after breaking from the triangle last week , I wrote in the analysis of the “0.8350 support test after Tuesday breakout from the triangle” about a probable return of the price to the broken lower limit of the triangle. This was already the case at the opening of Monday’s quotations. EURGBP gained dynamically in value as a result of the first round of elections in France. At this moment, 0.8350 support has been defended, but if the supply in the near future can again beat the price to this level, the scenario of breaking this support will become much more likely.
Key EURGBP behavior on the bottom line of the triangle.
Behaviour of the price on the lower limit of last week’s break-up is now crucial. Returning to the interior of the triangle negates last week’s break and we will soon see the EURGBP in the upper triangular area. In turn, effective reflection and declines will be the classic re-test movement, which will confirm that 0.8350 support may soon be broken.
