Free Trial

Bearish Threat

EURGBP TECHS
  • RES 4: 0.8918 76.4% retracement of the Feb 3 - Mar 15 bear leg
  • RES 3: 0.8880 61.8 retracement of the Feb 3 - Mar 15 bear leg
  • RES 2: 0.8875 High Apr 25 and key short-term resistance
  • RES 1: 0.8819 High May 2
  • PRICE: 0.8817 @ 16:30 BST May 2
  • SUP 1: 0.8760 Low May 1
  • SUP 2: 0.8729 Low Apr 4
  • SUP 3: 0.8719 Low Mar 15 and key support
  • SUP 4: 0.8691 Low Dec 19

EURGBP traded sharply lower last Friday and in the process, cleared support at 0.8792, the Apr 19 low. The sell-off undermines a recent bullish theme and instead highlights a developing bearish threat. A continuation lower would pave the way for a test of support at 0.8719, the Mar 15 low and a key level. On the upside, key short-term resistance has been defined at 0.8875, the Apr 25 high. Both the 20- and 50-day EMAs were pierced on the bounce Tuesday.

To read the full story

Close

Why MNI

MNI is the leading provider

of intelligence and analysis on the Global Fixed Income, Foreign Exchange and Energy markets. We use an innovative combination of real-time analysis, deep fundamental research and journalism to provide unique and actionable insights for traders and investors. Our "All signal, no noise" approach drives an intelligence service that is succinct and timely, which is highly regarded by our time constrained client base.

Our Head Office is in London with offices in Chicago, Washington and Beijing, as well as an on the ground presence in other major financial centres across the world.