The pair EUR/GBP has reached important resistance level of 0.7820 (ЕМА200 on weekly chart) and Fibonacci 50% to the last wave of decline from the highs of August 2013. From the level of 0.8700 the pair fell to the lows of 2015, losing over 1800 points.
In cross-pair EUR/GBP downward movement might resume. Until ECB meeting on monetary policy on 10 March, the pair can be in flat or go down to support level of 0.7705 (ЕМА200 on 4-hours chart and ЕМА144 on weekly chart).
If ECB adopts drastic measures, Euro and the pair EUR/GBP might sharply go down.
Final reversal to the downtrend will take place after break down of support level of 0.7660 (bottom limit of the ascending channel and ЕМА50 on the daily chart) and 0.7610 (Fibonacci 38.2%).
On the daily and 4-hour chart the indicators OsMA and Stochastic give signals for short positions. On the weekly chart the indicators are also reversing towards sell positions.
As an alternative scenario the pair can go up to 0.7925. However this is unlikely.
Support levels: 0.7705, 0.7660, 0.7610, 0.7450, 0.7350.
Resistance levels: 0.7820, 0.7925.
Sell Stop 0.7770.
Take-Profit 0.7705, 0.7660, 0.7610, 0.7575, 0.7525, 0.7450, 0.7350.
Buy Stop 0.7840.
Take-Profit 0.7890, 0.7925.