As can be clearly seen on the 240 mins chart of Euro-pound (Eur-Gbp), a potential head and shoulder pattern has formed. What is now needed is a decisive break of the support line. If such a break does occur one should take short positions in anticipation of a decent size downmove. Eur-Gbp has been in a short term uptrend in the long term downtrend after peaking at .98 in mid December. Thus we will potentially continue with the major trend now after seeing a very very sharp rally over past few weeks.
Which would imply then that price should ultimately dip below the intermediate low marked on the daily charts below.