EUR/GBP May Continue Falling

Last Friday EUR/GBP formed a distinct hanging man candlestick at the resistance at 0.8840 on the daily time-frame and the sharp move to the downside today came as no surprise. The pair may even be breaking out below the support of the (MA)89 indicator on the same time-frame at 0.8795. If there is indeed such a breakout there will probably be a further move to the downside towards the next target, which is likely at 0.8740. A breakout below that level could lead to another drop towards the last low at 0.8680.

Obviously, the move to the upside will probably continue in case of a breakout above the last high, which is at 0.8840.