Breaks above the collection of swing levels
The EURGBP is cracking to new session highs and in the process is trading at the highest level since the US November elections. It has cleared out overhead resistance at swing highs from before and after the election (see red circles and yellow area in the chart above). Those levels were in the 0.85509-79 area. The high has moved to 0.8887 so far.
Looking at the hourly chart below, the pair - earlier in the session - was probing lower. The price moved below the 0.8832-34 area which was a swing level going back to June 9th, and moved to the 100 hour MA (blue line in the chart below). That MA held, and when the BOE Broadbent comments disappointed, the rally was on. The move above the 0.8860 area was another catalyst for even more bullishness (that is now a risk level for buyers).
Buyers are making a play. The closest risk is 0.8979. The 0.8858-62 is another risk level for the longs. The break has the pair trading in the upper extension from October 2016. Prior to that, this area (above 0.8879) had not traded since 2011 (see weekly chart below). So it is nose bleed area for the pair but it is a break higher. Buyers taking more control.
