EURGBP closed below the daily Ichimoku cloud for a second day on Thursday after falling below it. Technical indicators give increasing bearish signals. The market is below the 200-day moving average and the RSI is below 50. The tenkan-sen has crossed below the kijun-sen line, also a bearish signal.
Prices are testing a critical Fibonacci retracement level of 61.8% at 0.7143. A break below this level would open the way for another leg down towards the 76.4% Fibonacci at 0.7053. To the upside, a move past Wednesday’s high of 0.7249 would bring the market back to neutral. A break above 0.7492 is required in order to see a resumption of the uptrend that started from 0.6935 in July.