EURGBP TECHS: MA Studies Remain In A Bear Mode Position
- RES 4: 0.8676 High Jan 3
- RES 3: 0.8620 High Jan 20
- RES 2: 0.8593 High Jan 19
- RES 1: 0.8578 High Feb 20 and key short-term resistance
- PRICE: 0.8560 @ 06:20 GMT Mar 07
- SUP 1: 0.8528 Low Feb 23
- SUP 2: 0.8493 Low Aug 23 2023 and a key medium-term support
- SUP 3: 0.8454 76.4% of the Mar 7 - Sep 26 ‘23 bull phase
- SUP 4: 0.8388 Low Aug 17 2023
EURGBP is consolidating and price remains below key resistance at 0.8578, the Feb 20 high. MA studies continue to highlight a downtrend, however, a break of 0.8578 would signal a possible reversal. The cross has pulled back from its recent highs, a deeper retracement would expose support and the bear trigger at 0.8493, the Aug 23 low. Clearance of this level would confirm a resumption of the trend and open 0.8454, a Fibonacci retracement.
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EUROSTOXX50 TECHS: (H4) Bullish Condition Remains Intact
- RES 4: 4753.50 1.618 projection of the Nov 8 - 24 - 28 price swing
- RES 3: 4725.50 1.50 projection of the Nov 8 - 24 - 28 price swing
- RES 2: 4700.00 Round number resistance
- RES 1: 4697.00 High Feb 2 and the bull trigger
- PRICE: 4686.00 @ 06:04 GMT Feb 6
- SUP 1: 4599.00/4586.80 High Jan 2 / 20-day EMA
- SUP 2: 4513.70 50-day EMA
- SUP 3: 4402.00 Low Jan 17 and key short-term support
- SUP 4: 4370.00 Low Nov 28
Eurostoxx 50 futures remain firm and the contract is trading at its recent highs. Key resistance at the Dec 14 high of 4634.00 has recently been cleared. The break confirmed a resumption of the medium-term uptrend and sights are on the 4700.00 handle next. Initial firm support lies at 4586.80, the 20-day EMA. Key trend support has been defined at 4402.00, the Jan 17 low. A short-term pullback would be considered corrective.
LOOK AHEAD: Eurozone Timeline of Key Events (Times GMT)
| Date | Time | Country | Event |
| 06-Feb | 0700 | DE | Manufacturing Orders |
| 06-Feb | 0830 | EU | S&P Global Final Eurozone Construction PMI |
| 06-Feb | 0900 | IT | ISTAT Business/Consumer Confidence |
| 06-Feb | 0900 | EU | ECB Consumer Expectations Survey |
| 06-Feb | 1000 | EU | Retail Sales |
| 07-Feb | 0700 | DE | Industrial Production |
| 07-Feb | 0745 | FR | Foreign Trade |
| 07-Feb | 0800 | ES | Industrial Production |
| 07-Feb | 0900 | IT | Retail Sales |
| 08-Feb | 1530 | EU | ECB's Lane at Brookings Institution |
| 09-Feb | 0700 | DE | HICP (f) |
| 09-Feb | 0900 | IT | Industrial Production |
| 09-Feb | 1415 | EU | ECB's Cipollone speaks at Assiom Forex Annual Congress |
| 10-Feb | 0900 | EU | The ECB Podcast on future euro banknotes |
| 12-Feb | 0945 | EU | ECB's Lane at conference on statistics post pandemic |
| 12-Feb | 1315 | EU | ECB's Lane participates in 'post-pandemic' roundtable |
| 12-Feb | 1550 | EU | ECB's Cipollone participates in panel on Euro@25 |
EURGBP TECHS: Bounce Considered Corrective
- RES 4: 0.8715 High Dec 28 and the bull trigger
- RES 3: 0.8676 High Jan 3
- RES 2: 0.8620 High Jan 20
- RES 1: 0.8572/8601 High Feb 5 / 50-day EMA and key resistance
- PRICE: 0.8566 @ 06:07 GMT Feb 6
- SUP 1: 0.8513 Low Jan 29
- SUP 2: 0.8493 Low Aug 23 2023 and a key medium-term support
- SUP 3: 0.8454 61.8% of the Mar 7 - Sep 26 ‘23 bull phase
- SUP 4: 0.8388 Low Aug 17 2023
EURGBP bears remain in the driver’s seat despite Monday’s recovery - a correction. Moving average studies remain in a bear-mode position highlighting a clear bearish theme. The break in January of support at 0.8549, the Dec 11 low, strengthened current conditions and sights are on 0.8493, Aug 23 ‘23 low and a key support. The 50-day EMA - at 0.8599 - is the firm resistance to watch. A clear break of the average would concern bears.
