Against a background of bearish signals for EUR/GBP on the week, but with prices trading at 22 month lows keeping the call a cautious one, Monday’s trading was trendless, sentiment trading sideways inside Friday’s range for an unchanged close.
However, the market is posting higher daily lows, so with this in mind the outlook for Tuesday is for further counter-trend and temporary gains, buying on the open and at .7902, Friday’s low, with a stop loss at .7888, last week’s 22 month base. Targets are to .7934, Friday’s high, .7946 and .7957, last week’s opening trade.