LOOK AHEAD: Eurozone Timeline of Key Events (Times GMT)

• RES 4: 1.3661 High Sep 18    
• RES 3: 1.3607 2.764 proj of the Nov 4 - 13 - 20 price swing 
• RES 2: 1.3557 76.4% retracement of the Sep 17 - Nov 4 bear leg
• RES 1: 1.3502/3537 High Jan 2 / High Dec 25 and the bull trigger
• PRICE: 1.3424 @ 06:06 GMT Jan 5
• SUP 1: 1.3402 Low Dec 31
• SUP 2: 1.3361 50-day EMA
• SUP 3: 1.3288 Low Dec 9 
• SUP 4: 1.3180 Low Dec 2     

The trend condition in GBPUSD remains bullish and for now, the latest pullback appears corrective. Note that moving average studies have recently crossed and are in a bull-mode position, highlighting a dominant uptrend. Key short-term support is seen at 1.3361, the 50-day EMA. A clear breach of this EMA would signal scope for a deeper pullback. For bulls, a resumption of the uptrend would open 1.3557, a Fibonacci retracement.

• RES 4: 116.770 High Dec 3 and key resistance       
• RES 3: 116.580 High Dec 5  
• RES 2: 116.320 High Dec 8    
• RES 1: 116.222/260 20-day EMA / High Dec 29   
• PRICE: 115.990 @ 05:29 GMT Jan 5 
• SUP 1: 115.910/720 Low Dec 23 / 10 and the bear trigger 
• SUP 2: 115.660.4.000 proj of the Nov 6 - 14 - 26 price swing  
• SUP 3: 115.600 Round number support
• SUP 4: 115.573 4.236 proj of the Nov 6 - 14 - 26 price swing

The trend set-up in Bobl futures is unchanged, the condition remains bearish and recent gains are considered corrective. A resumption of the downtrend would signal scope for an extension towards 115.660 next, a Fibonacci projection. Note that the trend has recently been in oversold territory, a stronger recovery would allow this set-up to unwind. Initial firm resistance to watch is at the 20-day EMA, at 116.222.

• RES 4: 1.1919 High Sep 17 and a key M/T resistance  
• RES 3: 1.1848 High Sep 18
• RES 2: 1.1808 High Dec 24 and the bull trigger 
• RES 1: 1.1765 High Jan 2 
• PRICE: 1.1685 @ 05:55 GMT Jan 5
• SUP 1: 1.1672 Intraday low 
• SUP 2: 1.1639 50.0% retracement of the Nov 5 - Dec 12 bull leg  
• SUP 3: 1.1615 Low Dec 9 
• SUP 4: 1.1598 61.8% retracement of the Nov 5 - Dec 12 bull leg

The trend condition in EURUSD remains bullish, however a corrective cycle is in play for now. Today’s bearish start to this week’s session strengthens a short-term bearish theme. The pair has pierced support around the 50-day EMA, at 1.1683. A clear break of the average would signal scope for a deeper retracement and open 1.1639, a Fibonacci retracement. Key resistance has been defined at 1.1808, the Dec 24 high.