GBPUSD TECHS: Corrective Bounce
- RES 4: 1.2506 1.382 proj of the Sep 26 - Oct 5 - Oct 12 price swing
- RES 3: 1.2401/2448 High Feb 2 / High Jan 23 and the bull trigger
- RES 2: 1.2265 High Feb 3
- RES 1: 1.2194 High Feb 9
- PRICE: 1.2166 @ 16:10 GMT Feb 9
- SUP 1: 1.1948 200-dma
- SUP 2: 1.1859 3.0% 10-dma envelope
- SUP 3: 1.1842 Low Jan 6 and a reversal trigger
- SUP 4: 1.1800 Round number support
GBPUSD maintains a softer tone despite the recovery from Tuesday’s low. Recent weakness reinforces a short-term bearish theme and signals scope for a continuation. Sights are on the 200-dma next at 1.1948. A move through this level would expose key support at 1.1842, Jan 6 low. A break of 1.1842 would highlight a potential trend reversal and a possible double top. Firm resistance is 1.2265, Feb 3 high. Key resistance is 1.2448, Jan 23 high.
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GBPUSD TECHS: Bullish Price Action
- RES 4: 1.2506 1.382 proj of the Sep 26 - Oct 5 - Oct 12 price swing
- RES 3: 1.2446 High Dec 14 and the bull trigger
- RES 2: 1.2242/2303 High Dec 19 / 76.4% of Dec 14 - Jan 6 bear leg
- RES 1: 1.2210 High Jan 9
- PRICE: 1.2150 @ 15:38 GMT Jan 10
- SUP 1: 1.2071 20-day EMA
- SUP 2: 1.1966/23 50-day EMA / 1.0% 10-dma envelope
- SUP 3: 1.1842 Low Jan 6 and the bear trigger
- SUP 4: 1.1779 Low Nov 21
GBPUSD traded higher Monday, adding to Friday’s strong bounce. The recovery from Friday’s low of 1.1842 highlighted an early reversal and yesterday’s follow through reinforces the signal that highlights the end of the recent bear cycle between Dec 14 - Jan 6. MA studies are in a bull-mode position and this suggests that the medium-term trend direction is up. Sights are on 1.2242 next, Dec 19 high. Key support is at 1.1842, the Jan 6 low.
PIPELINE: $10B Saudi Arabia 3Pt Launch
Saudi Arabia 3pt jumbo largest of the year so far at $10B:
- Date $MM Issuer (Priced *, Launch #)
- 01/10 $10B #Saudi Arabia $3.25B 5Y +110, $3.5B 10.5Y +140, $3.25B 30Y 5.5%
- 01/10 $4B *KFW 5Y SOFR+40
- 01/10 $2B *AIIB 5Y SOFR+64
- 01/10 $2B #Israel 10Y +95
- 01/10 $2.5B #SK Hynix $750M 3Y +240, $1B 5Y +275, $750M 10Y +310
- 01/10 $1.5B #Deutsche Bank 6NC5 +300
- 01/10 $1.25B #CaixaBank 6NC5 +250
- 01/10 $1B #Macquarie Bank 10Y +320
- 01/10 $1B #Export Bank of India 10Y +190
- 01/10 $1B CDC (Caisse des Depots) 3Y SOFR+46a
- 01/10 $1B Venture Global 7NC 6.375%
- 01/10 $Benchmark American Honda 3Y +80, 3Y SOFR+92, 5Y +103
- 01/10 $Benchmark BPCE 5Y +145, 4NC3 +200
- 01/10 $Benchmark Mongolia 5Y 8.95%a
US: FED Reverse Repo Operation
NY Fed reverse repo usage slips to $2,192.942B w/ 102 counterparties vs. prior session's $2.199.121B. Compares to Friday, Dec 30 record/year-end high of $2,553.716B (prior record high was $2,425.910B on Friday, September 30.
NY Federal Reserve/MNI
