In less than 2 months bulls on EURGBP pair managed to lead the price from key support 0.8300 to key resistance in the region of 0.8850 – 0.8880. Last Friday demand tried to break this level for the first time and ended up with a long upper shadow on chart D1. Today demand is strong again, trying to attack the mentioned area.
We expect in 0.8850 – 0.8880 area a bearish correction. However, in medium term it is worth noting that from July 2015 EURGBP is moving in a bullish trend. Friday’s test of the area pushed price to highs from November 2016. This may mean that after correction (which should now appear), growth will return and pair will be able to break resistance in 0.8850 – 0.8880 area and move towards highs from 2016.