EUR/GBP now looks to 0.8689/87 – Commerzbank

In opinion of Karen Jones, Head of FICC Technical Analysis at Commerzbank, the European cross has now shifted its focus to the 0.8689/87 band.

Key Quotes

“EUR/GBP has sold off in its range and focus has dropped to the December and January lows at .8689/87. A close below here would trigger losses to the 78.6% retracement at .8527 (of the move up from the 2017 low). Right now it still remains side lined/neutral”.

“Should the December and January lows at .8689/87 again hold, we remain unable to rule out a recovery to the .9034 October 2017 high, provided that support at .8687 holds”.