GBPUSD TECHS: Builds Off Support at The 20-Day EMA
- RES 4: 1.3175 High Oct 4 2024
- RES 3: 1.3119 76.4% retracement of the Sep 26 ‘24 - Jan 13 bear leg
- RES 2: 1.3048 High Nov 6 ‘24
- RES 1: 1.3015 High Mar 20 and the bull trigger
- PRICE: 1.2966 @ 16:20 GMT Mar 27
- SUP 1: 1.2871 20-day EMA and Thursday low
- SUP 2: 1.2737 50-day EMA and a short-term pivot support
- SUP 3: 1.2679 Low Mar 4
- SUP 4: 1.2559 Low Feb 28
The trend in GBPUSD is bullish and the recovery off lows shows recent weakness as corrective. MA studies are in a bull-mode position and this highlights a dominant uptrend. The pair has found support at the 20-day EMA, at 1.2871. A stronger recovery and a breach of 1.3015, the Mar 20 high and bull trigger, would pave the way for a climb towards 1.3048, the Nov 6 2024 high. Clearance of the 20-day EMA is required to signal scope for a deeper retracement.
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GBPUSD TECHS: Bull Cycle Remains In Play
- RES 4: 1.2811 High Dec 6 ‘24
- RES 3: 1.2831 2.0% 10-dma envelope
- RES 2: 1.2767 50.0% retracement of the Sep 26 ‘24 - Jan 13 bear leg
- RES 1: 1.2691 High Feb 24
- PRICE: 1.2654 @ 16:42 GMT Feb 25
- SUP 1: 1.2563 Low Feb 19
- SUP 2: 1.2522 50-day EMA
- SUP 3: 1.2440 Low Feb 13
- SUP 4: 1.2333 Low Feb 11 and a key support
A bull cycle in GBPUSD remains in play and the pair is holding on to the bulk of its recent gains. Fresh short-term gains confirm a resumption of the uptrend and maintain the current sequence of higher highs and higher lows. An extension would strengthen the bullish condition and open 1.2767, the 50.0% retracement of the Sep 26 ‘24 - Jan 13 bear leg. Initial firm support to watch is 1.2522, the 50-day EMA.
PIPELINE: Corporate Bond Issuance: $5B Citigroup 3Pt Launched
- Date $MM Issuer (Priced *, Launch #)
- 02/25 $5B #Citigroup $2.25B 4NC3 +70, $750M 4NC3 SOFR, $2B 31NC30 +105
- 02/25 $1.8B #Southern Co 30NC10 6.375%
- 02/25 $1B #Dow Chemical $400M 10Y +105, $600M 30Y +140
- 02/25 $750M #KeyCorp 6NC5 +98
- 02/25 $500M #Emerson Electric WNG 10Y +70
- 02/25 $Benchmark State Street Corp 3Y +45, 5Y +60, 11NC10 +85
- 02/25 $Benchmark Caterpillar 3Y +55a, 3Y SOFR
US: FED Reverse Repo Operation
RRP usage rebounds to an even $96.0B this afternoon from $76.818B on Monday. Compares to Friday, February 14 low of $58.770B - the lowest level since mid-April 2021. The number of counterparties at 36 from 30 prior.
