Euro and sterling has formed bullish flag pattern on a weekly chart. We are currently at the lower part of this pattern so this could be a pretty good place to go long. Pattern duration is almost one year, to be more precise it is 11 month till now. There has been a fake breakout to the downside showing that pattern is invalid, nevertheless price was pushed back in the pattern. To get a better picture we can zoom into daily chart.
We can see that the price is making new highs. Before higher high there was a lower low.The nearest resistance is at 0.846 which shouldn't be an obstacle. The next target we have at 0.86 and if we are lucky then we will see 0.876 or even 0.885.
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