The current price of EURGBP is trading almost 4 and half months lows at 0.8369 levels after U.K. services activity hits 10-month high in November. In a report, service PMIs unexpectedly rose to 55.2 last month from a reading of 54.5 in October.

Prices consistently sliding below DMAs on daily and SMAs on weekly terms, now testing support at 0.8305, the break below can drag upto 0.8186.

RSI evidences downward convergence with the price slumps that signals strength in declining trend.

While stochastic curves have halted in oversold territory but no traces of %K crossover, for now, it appears to be indecisive but bearish bias.

MACD – this lagging indicator has just slid below zero level on daily chart and evidence bearish crossover that signals the bearish trend to prolong.

While on a broader perspective, breaks below major supports (0.8873, 0.8620, and heading for 0.8086 level, SMAs on verge of bearish crossover, bearish convergence on leading & lagging indicators and Shooting star at 0.900 to evidence more slumps in the weeks to come.

Rising volumes on declining prices is another confirmation to the bearish trend.

Hence, we reckon staying short in futures contracts of near month expiry for targets of 0.8186 and 0.8086 levels with a strict stop loss of 0.8571 levels.