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Bearish Risk

EURGBP TECHS
  • RES 4: 0.9265 High Sep 14
  • RES 3: 0.9217/30 High Dec 21/11 and key resistance
  • RES 2: 0.9156 High Dec 22
  • RES 1: 0.9093 High Dec 29
  • PRICE: 0.8950 @ 18:31 GMT Dec 31
  • SUP 1: 0.8943 Low Dec 31
  • SUP 2: 0.8929 Low Dec 1
  • SUP 3: 0.8867 Low Nov 23 and a key support
  • SUP 4: 0.8861 Low Nov 11

EURGBP maintains a bearish outlook and ended the year on a soft note. The cross recently cleared a key support at 0.8983, Dec 4 / 7 low. The break highlights a bearish chart feature and the risk of a deeper sell-off. The move lower Thursday paves the way for a weakness towards 0.8867, Nov 23 low. On the upside initial resistance is at 0.9093, Dec 29 high and 0.9156, Dec 22 high. Clearance of these hurdles would expose the key 0.9230 Dec high.

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