On a daily graph the EUR/GBP currency pair is declining again after a slight rollback. The outlook remains bearish, as the downside trend remains. In case the level of 0.8462 is broken through then the decrease to support level of 0.82 is expected.
Earlier on a daily graph the EUR/GBP has formed the combination of candlesticks Bearish Engulfing that indicates the downwards movement.
This combination of candlesticks shows that the currency pair was falling during a couple of weeks after it failed to break out the support level of 0.8067. However, having come closer to 0.8950 the pair reversed. This means that the bears started to increase their influence here and did not allow the bears to strengthen.
The breakout of the Fibonacci correction level 38.2 and support level of 0.8626 confirms this point of view.
It is recommended to place the stop orders slightly above 0.8821, since the breakthrough of this mark will target the EUR/GBP at 0.8950.
