• EURGBP broke multi-month support level 0.8670
• Likely to fall to support level 0,8600
EURGBP recently broke below the key multi-month support level 0.8670 (which stopped the previous intermediate correction (A) in April of 2020 as can be seen from the daily EURGBP chart below). The breakout of this support level 0.8670 accelerated the active minor impulse waves 3 and (v) of the extended multi-month downward impulse sequence (C) from last September.
Given the powerful bullish sterling sentiment seen across the FX markets today – EURGBP currency pair is likely to fall further toward the next support level 0,8600 (target price calculated for the completion of the active minor impulse wave 3 – intersecting with the daily down channel from December).