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Downside Extension

EURGBP TECHS
  • RES 4: 0.9069 High Nov 5
  • RES 3: 0.9021 Trendline drawn off the Sep 11 high
  • RES 2: 0.9004 High Nov 12
  • RES 1: 0.8983 20-day EMA
  • PRICE: 0.8913 @ 06:12 GMT Nov 23
  • SUP 1: 0.8903/8861 Low Nov 12 / Low Nov 11 and the bear trigger
  • SUP 2: 0.8830 Low May 15
  • SUP 3: 0.8803 Low May 13
  • SUP 4: 0.8748 61.8% retracement of the Feb - March Rally

EURGBP is trading lower and has breached last week's low of 0.8915. The cross rallied sharply Nov 12, extending the recovery from the Nov 11 low of 0.8861. Although this move displays some reversal features, it is likely a correction. A break of trendline resistance at 0.9021, drawn off the Sep 11 high is required to signal a reversal. Key support has been defined at 0.8861, Nov 11 low. Clearance of this level resumes the current downtrend.

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