EUR/GBP may fall 12 - 17 pips

0.8429 is our pivot point.

Our preference

The downside prevails as long as 0.8429 is resistance.

Alternative scenario

The upside breakout of 0.8429, would call for 0.8438 and 0.8444.

Comment

The RSI is trading below 30. This could mean that either the pair is in a lasting downtrend or just oversold and that therefore a rebound could shape (look for bullish divergence in this case). The MACD is below its signal line and negative. The configuration is negative. Moreover, the price stands below its 20 and 50 period moving average (respectively at 0.8439 and 0.8445).

Supports and resistances

0.8444 **

0.8438 *

0.8429 **

0.8426

0.8420 last

0.8408

0.8403 **

0.8398 *

0.8392 **

Number of asterisks represents the strength of support and resistance levels.