EUR/GBP has been ranging between the 0.7000 and 0.7500 areas since March 2015. There is still no clear direction where the price could be heading in the long term. And this sort of scenario is very appropriate for the "buy low, sell high" approach.
The price broke below the 61.8% Fibonacci applied to the low of July 17 and the high of October 13, which indicates the weakness of the euro against the British pound. Currently, the price retraced back to the 38.2% Fibonacci that has been rejected together with the descending channel suggesting that bears could start taking over.
Consider selling EUR/GBP on the H4 close below the 0.7245 level which previously acted as a support and resistance multiple times. If the price goes down, it is most likely to form a double bottom near the low of 0.7000 hit on July 17. It could be used as a target. Stop loss should be well above 23.6% Fibs.
Support: 0.7210, 0.7145, 0.7060, 0.6930
Resistance: 0.7280, 0.7360
