EUR/GBP Breakdown in Play: Time to Target the Next Support Below

🔍 Technical Analysis Summary: EUR/GBP (Daily)
The pair is in a clear downtrend, with two descending blue trendlines confirming strong bearish pressure. After breaking below key support (now turned resistance), the price is forming lower highs and lower lows, a classic bearish continuation pattern. Currently, price is testing the trendline zone after a steep rejection, indicating renewed selling interest at resistance. Price failed to break above recent structure, validating the short setup further.
📉 Bearish Confluences
1. Descending Trendline
The price respects a multi-month downward trendline, rejecting it multiple times — confirming institutional selling interest.
2. Failed Retest of Structure (0.8465)
This level acted as prior support and has flipped into strong resistance. Price was rejected upon retesting, validating bearish continuation.
3. Momentum Shift
Candlestick structure and shrinking bullish bodies near resistance show fading bullish momentum — favoring sellers.
4. Lower Highs and Lower Lows
The chart clearly prints lower highs, indicating continuous bearish structure since early April.
✅ Trade Setup: Short Position
• Entry Point
🟡 Current market price around 0.83710–0.83740 after rejection from resistance
• Stop Loss (SL)
🔴 Above recent resistance and trendline at 0.84650
• Take Profit 1 (TP1)
🟢 Near recent support zone at 0.83234
• Take Profit 2 (TP2):
🟢 Near major trendline confluence / stronger support at 0.82218
📌 Final Thoughts
This EUR/GBP short setup is technically sound:
• It aligns with the overall trend
• Resistance has been confirmed with rejection wicks and weak bullish candles
• Bearish structure and trendline resistance remain intact
💡 Unless EUR/GBP breaks above 0.84650, the bias remains bearish, and this setup favors a continuation toward lower supports.