EURGBP - Confidence grows; Targets .8163

Trading yesterday was entirely contained within the parameters expected. However, a second positive improvement was posted with a move that means more than half of Monday’s net decline has now been regained.  A new high for the week has yet to be produced and the upside is likely to be hindered by the daily Ichimoku Cloud and overbought extremes but setbacks are currently proving attractive to investors and so higher levels are expected. In view of this our call is Bullish above .8102. The immediate objective is .8144 with a move beyond that point targeting .8163, a 38 percent recovery of this year’s decline, or even towards  .8202.

The risk to this call is a move under .8102 indicating that overbought extremes are correcting targeting .8084, yesterday's bottom, then .8065, half of Wednesday's net rise.