POWER: EdF Extends Outage at 1.33GW Paluel 3 Nuke to 22 March

• Higher yields in the aftermath of the US data are continuing to underpin the theme of renewed JPY weakness overnight. Together with a moderate lift of the lows for the single currency, EURJPY has printed fresh session highs ~159.80 in recent trade, extending the recovery from Monday’s lows to 2.70%.
• While we have noted that the move higher is allowing a recent oversold condition to unwind, the significant reversal and fundamental developments will likely be exerting significant pressure on bearish positions.
• Technically, the latest recovery is likely a correction and initial resistance to watch is 159.93, the 20-day EMA. Key short-term resistance remains further out at 161.09, the 50-day EMA, a break of which would highlight a stronger reversal.

Megan Greene's speech at the Institute of Directors will be published here at 15:00GMT.

• With Mann having switched sides, it is thought that either Greene or Pill remain as the most hawkish member of the MPC. Both have voted for cuts in both November and February and Greene’s speech today will be watched for any evolution of her views.
• Without a notable change in stance at present it seems unlikely her vote is likely to be the one to bring about a potential sequential cut, so if she maintains a hawkish tone it’s unlikely to impact market pricing too much.

RES 4: 6178.75 High Dec 6 and key resistance    

• RES 3: 6162.25 High Jan 24 
• RES 2: 6147.75 High Jan 31 
• RES 1: 6123.25 High Feb 7                  
• PRICE: 6039.75 @ 14:41 GMT Feb 12 
• SUP 1: 6014.00/5935.50 Low Feb 10 / 3           
• SUP 2: 5892.37 76.4% retracement of the Aug 5 - Dec 6 bull leg
• SUP 3: 5842.50 Low Jan 14 
• SUP 4: 5809.00 Low Jan 13 and a key resistance 

Price action on Feb 3 in the S&P E-Minis contract continues to highlight a possible short-term reversal threat. If correct, it suggests that the latest bounce is a correction. A resumption of weakness would open 5892.37, a Fibonacci retracement point. On the upside, a stronger rally would expose key resistance at 6178.75, the Dec 6 ‘24 high. Clearance of this hurdle would resume the primary uptrend.