EUR/GBP - Could see a move higher to Oct. high of 0.9034 - Commerzbank

Commerzbank Analyst Karen Jones is unable to rule out an upward move in EUR/GBP but warns of a sell-off under support of 0.8697.

Key quotes

EUR/GBP has recently failed to clear an old Fibonacci retracement at 0.8925 and also recovered off the 50% retracement at .8808. Currently, we remain unable to rule out a move to the .9034 October high. Below .8808 would retarget the .8697 recent low. No really strong bias.

Key near-term resistance is the .9034 October 12 2017 high. This remains the barrier to the 0.9071/0.9175 61.8% and 78.6% Fibonacci retracements.

Where are we wrong? The cross recently sold off to the 61.8% retracement of the move seen this year at .8697. A close below here targets the .8530/78.6% retracement of the move seen this year.

Short-Term Trend (1-3 weeks): Stabilised at the 55 week ma.

Long-term trend (1-3 months): Market has recovered from 55 week ma.