Bearish Focus Still In Place....>

EURO-STERLING TECHS: Bearish Focus Still In Place

*RES 4: 0.8605 High Nov 22

*RES 3: 0.8596 High Jan 14 and bull trigger

*RES 2: 0.8554 High Jan 20

*RES 1: 0.8501 High Jan 22

*PRICE: 0.8441 @ 16:54 GMT Jan 27

*SUP 1: 0.8389 Low Jan 24

*SUP 2: 0.8356 Low Dec 17

*SUP 3: 0.8352 76.4% retracement of the Dec 13 - Jan 14 rally

*SUP 4: 0.8277 Low Dec 13 and key support

EURGBP last week breached a key support at 0.8452, Dec 31 low to confirm a range

breakout. Friday saw the 61.8% retracement of the Dec - Jan rally at 0.8399

breached. This highlights a bearish theme and the cross is likely to remain

vulnerable near-term. Further weakness would open 0.8356, Dec 17 low and if this

level is cleared, the key bear trigger at 0.8277, Dec 13 low. Firm resistance

has been defined at 0.8554, Jan 20 high with initial resistance at 0.8501.