EURGBP TECHS: Monitoring Support

• RES 4: 0.8800 Round number resistance 
• RES 3: 0.8781 2.236 pro of the Mar 3 - 11 - 28 price swing
• RES 2: 0.8738 High Apr 11 high and a key resistance
• RES 1: 0.8698 High Jul 16
• PRICE: 0.8653 @ 16:07 BST Jul 23
• SUP 1: 0.8626 20- day EMA
• SUP 2: 0.8597 Low Jul 7  
• SUP 3: 0.8561 50-day EMA
• SUP 4: 0.8508 Low Jun 27

The trend condition in EURGBP remains bullish and the cross continues to trade closer to its recent highs. A bullish price sequence of higher highs and higher lows is intact and note too that moving average studies are in a bull-mode position, highlighting a dominant uptrend. A resumption of gains would open key resistance at 0.8738, the Apr 11 high. Support to watch is 0.8626, the 20-day EMA.

RRP usage slips to $189.632B this afternoon from $196.374B yesterday, total number of counterparties at 30. Usage had fallen to $54.772B on Wednesday, April 16 -- lowest level since April 2021 - compares to July 1: $460.731B highest usage since December 31.

• RES 4: 1.3789 High Jul 01 and the bull trigger
• RES 3: 1.3689 76.4% retracement of the Jul 1 - 16 bear leg
• RES 2: 1.3577 50.0% retracement of the Jul 1 - 16 bear leg
• RES 1: 1.3563 High Jul 23
• PRICE: 1.3560 @ 16:05 BST Jul 23
• SUP 1: 1.3365 Low Jul 16 and the short-term bear trigger 
• SUP 2: 1.3335 Low May 20
• SUP 3: 1.3245 Low May 19
• SUP 4: 1.3144 38.2% retracement of the Jan 13 - Jul 1 bull cycle   

GBPUSD traded higher again Wednesday, extending the recovery from the Jul 16 low. The recent spell of weakness resulted in a break of trendline support drawn from the Jan 13 low. The breach is a bearish development, however, the latest bounce also highlights a possible false break. Note that M/T signals still highlight an uptrend. The next resistance to watch is 1.3577, a Fibonacci retracement. The bear trigger is 1.3365, Jul 16 low. A break would resume a bear theme.