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Bearish Trend Conditions Remain Intact

EURGBP TECHS
  • RES 4: 0.9085 High Jan 6
  • RES 3: 0.8924/96 50-day EMA / High Jan 12
  • RES 2: 0.8853/0.8925 20-day EMA / High Jan 18 and key resistance
  • RES 1: 0.8840 High Feb 4
  • PRICE: 0.8765 @ 06:17 GMT Feb 9
  • SUP 1: 0.8711 Low May 11, 2020
  • SUP 2: 0.8691 Low May 5, 2020
  • SUP 3: 0.8671 Low Apr 30, 2020 and a key support
  • SUP 4: 0.8638 2.0% 10-dma envelope

EURGBP remains bearish following last week's extension lower with price trading closer to recent lows. Moving average conditions are also in a bear condition and this reinforces the current trend set-up. The focus is on 0.8711 next, May 11, 2020 low with scope too for a breach of the 0.8700 handle. On the upside, initial resistance is at 0.8840. A breach of this level would signal scope for a stronger corrective bounce.

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