EUR/GBP: S/T Breakout; Where To Target? - JP Morgan

JP Morgan FX Technical Strategy Research notes that EUR/GBP medium-term charts still suggest a high likelihood that a sustainable high has been marked at 0.9403 in October and that a much broader down-consolidation has been launched.

Such a medium-term pattern, according to JPM, has a minimum price target of 0.8168 (50 % of the 2015-2016 rally).

However, in the short-term JPM is now looking for the breakout above 0.8552 (daily trend) to signal a broader recovery to 0.8678, and towards 0.8854/62 thereafter.

EUR/GBP is trading circa 0.8578 as of writing. 

Source: JP Morgan Global FX Strategy Research