EURGBP returns to decline – Technical Analysis – 10-11-2015

The EURGBP pair returned to decline recently after rising previously when it leaned on 0.7051 support level, which represents 76.4% Fibonacci of the medium term bullish wave measured from 0.6915 to 0.7492, which offered positive momentum that assisted the price to rise, amid the negative pressure of the moving average 50, besides the affection of the rising wedge pattern that was formed previously as appears on chart, accompanied by relative strength indexes reach to the overbought areas, while stochastic starts to form negative divergence.

Therefore, we expect to witness bearish trend in the coming trading as long as the price is below 0.7135, targeting 0.7051 support again.