The candlestick analysis of the EUR/GBP

The EUR/GBP rolls back from Fibonacci correction level 50.0. Nevertheless, it is expected that soon the pair will test the resistance level of 0.9160, where Fibonacci correction level 61.8 is placed.

Earlier on a weekly graph, the EUR/GBP has formed Hammer candlestick that indicates the bearish signal. The uprising movement is confirmed by the fact that the candlestick appeared near the support level of 0.8070, where the bears did not fixate and the bulls started to increase their influence and a rebound took place.
This candlestick shows that the pair decreases after the failed attempt to break through the resistance level of 0.9411. Nevertheless, having come closer to 0.8067, it reversed.
The fact that the EUR/GBP has successfully breached Fibonacci correction level 23.6 confirms this point of view.
On the other hand, the long positions should be closed when the support level of 0.8070 is broken through, since it will open the way to 0.7693 (October 2008 low).

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