Double Bottom Reversal *RES.....>

EURO-STERLING TECHS: Double Bottom Reversal

*RES 4: 0.9086 50.0% Fibonacci retracement of the Mar - Apr decline

*RES 3: 0.8988 38.2% Fibonacci retracement of the Mar - Apr decline

*RES 2: 0.8971/72 2.0% 10-dma envelope / High Mar 31

*RES 1: 0.8959 Intraday high

*PRICE: 0.8942 @ 05:37 BST May 18

*SUP 1: 0.8878 High May 13

*SUP 2: 0.8808 Low May 13 and key near-term support

*SUP 3: 0.8759 Low May 12

*SUP 4: 0.8691 Low May 01 / 05

EURGBP cleared 0.8865 resistance last week, the Apr 7 high and is bullish. The

break confirmed a clear breakout of the recent range. Furthermore, from a

pattern perspective the move through 0.8864, Apr 21 high confirmed a double

bottom formation and a reversal of the decline since Mar 19. Attention is on

0.8988, 38.2% retracement of the March-April decline and potentially 0.9086

further out, the 61.8% retracement. Support lies at 0.8808.