Forex forecast / EUR / GBP / Our expectations:
Correction of the uptrend to 38.2 Fibonacci dynamic support. The area around 0.8950 - 08920 is suitable for long positions. There are diagonal and horizontal supports. DeM (14) has passed below 0.3 in a oversold zone where reversal will be a confirmation signal for possible long positions. SL at 0.8880.
At 14:00, we expect increased volatility in pound crosses as we wait for the BoE's decision on interest rates when we can get a better positioning price. Jean-Claude Juncker's statement /European Commission President/ yesterday supports the long-term expectations of a strong euro, which supports the bullish scenario.
Alternative Scenario:
If the price breaks below the support levels this will spoil the bullish scenario and perhaps a correction will continue to at least 50% Fibonacci.
Trader Nikolay Georgiev
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