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17 Jul 2015
Sell the rallies in EUR/GBP – Commerzbank
FXStreet (Edinburgh) - Karen Jones, Head of FICC Technical Analysis at Commerzbank, sees occasional rallies in the cross as selling opportunities.
Key Quotes
“EUR/GBP has sold off to the base of the base of a 6 year channel at .6967, there has been a minor erosion of this”.
“The intraday momentum indicators are showing oversold and very near term we would allow for a small rebound”.
“TD support comes in at .6940, the Elliott wave count at .6920 on the 240 minute, both imply that the downside is limited at this juncture and we would prefer to sell the rallies. Rebounds are currently indicated to terminate .7065”.
“The base of the .6967 6 year down channel was our medium downside target and it is possible that it will again hold. This is the break down point to the .6571/41 the 2007 low”.
Key Quotes
“EUR/GBP has sold off to the base of the base of a 6 year channel at .6967, there has been a minor erosion of this”.
“The intraday momentum indicators are showing oversold and very near term we would allow for a small rebound”.
“TD support comes in at .6940, the Elliott wave count at .6920 on the 240 minute, both imply that the downside is limited at this juncture and we would prefer to sell the rallies. Rebounds are currently indicated to terminate .7065”.
“The base of the .6967 6 year down channel was our medium downside target and it is possible that it will again hold. This is the break down point to the .6571/41 the 2007 low”.