FxWirePro: EUR/GBP extends weakness below 200-DMA, outlook bearish

EUR/GBP chart - Trading View 

Technical Analysis: Bias Bearish

- EUR/GBP trades 0.36% lower at 0.8884 at around 10:45 GMT, 

- Price action is extending break below 200-DMA, recovery attempts capped at 5-DMA

- Stochs and RSI are sharply lower and RSI is well below the 50 mark

- MACD supports weakness, ADX is rising in support of the downtrend

- GMMA shows major and minor trend are strongly bearish

- Volatility is rising as evidenced by widening Bollinger bands

Support levels - 0.8865 (trendline support), 0.8815 (200W MA), 0.8670 (Apr 30 low)

Resistance levels - 0.8913 (5W EMA), 0.8926 (5-DMA), 0.8945 (200-DMA)

Summary: The British pound got a strong boost following the release of upbeat UK PMI prints. UK Manufacturing PMI unexpectedly jumped to 55.2 in November, beating consensus estimates pointing to a fall to 50.5 and compared to 53.7 in the previous month. The cross has shown decisive break below 200-DMA which could drag prices lower. Next major support lies at 0.8815 (200W MA). Retrace above 200-DMA will negate bearish bias.