Divergence on EUR/GBP

Divergence on EUR/GBP

The current technical pattern signals a possible correction of the EUR/GBP currency pair after a sharp drop. A classic reversal formation, the divergence of price and the MACD histogram (M15 timeframe), has been formed in the trading instrument. At the moment, EUR/GBP quotes have become stable. The level of 0.8915 is a local resistance. We recommend paying attention to this situation.

If the price fixes above the level of 0.8915, EUR/GBP purchases should be considered. The nearest goal for profit-taking is 0.8950-0.8965. The movement is tending to 0.8995-0.9015. When following positions, we recommend using a trailing stop.

by JustMarkets 2020.06.02

This article reflects a personal opinion and should not be interpreted as an investment advice, and/or offer, and/or a persistent request for carrying out financial transactions, and/or a guarantee, and/or a forecast of future events.

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