By FXEmpire.com
The EUR/GBP pair managed to bounce on Thursday as the hammer from the Wednesday session would have triggered buy orders. The market is oversold, so this bounce really isn’t anything that we would expect. It looks like the 79 level is going on for serious support, and as a result we are willing to let this market bounce a bit before selling. Remember, we pointed out a bearish flag several sessions ago that got broken to the downside. We still suspect that flag is a valid signal.
With all this in mind, we suspect that the market will bounce, but will offer a retest of the 79 to 80 resistance zone, which we will not hesitate to sell any week looking candles in. We simply will not buy this pair at this moment in time.
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Originally posted here
