EUR/GBP: A potential base is being consummated – Commerzbank

A potential base on the EUR/GBP pair will be completed on a close above 0.8865, Karen Jones, Team Head FICC Technical Analysis Research at Commerzbank, informs.

Key quotes

“EUR/GBP is showing early signs of recovery and is trading above the 200-day ma at 0.8717 – it looks well placed to challenge 0.8864/65. A close above here will confirm a short-term base targeting 0.9060.”

“The 0.8865 potential base will remain valid while the market continues to trade above the April low at 0.8671.” 

“Above resistance at 0.8864/65 sits the March 20 low at 0.8994.”