UTILITIES: Naturgy / EDP Headlines

• RES 4: 107.120 High Mar 4 and key resistance    
• RES 3: 106.905 High Mar 5     
• RES 2: 106.847 61.8% retracement of the Mar 4 - 6 bear leg  
• RES 1: 106.762 50.0% retracement of the Mar 4 - 6 bear leg               
• PRICE: 106.625 @ 06:10 GMT Mar 12    
• SUP 1: 106.530/405 Low Mar 10 / 6 and the bear trigger   
• SUP 2: 106.350 2.000% retracement proj of the Feb 19 - Mar 4  
• SUP 3: 106.259 2.236% retracement proj of the Feb 19 - Mar 4 
• SUP 4: 106.203 2.382% retracement proj of the Feb 19 - Mar 4   

A bearish condition in Schatz futures remains intact following the latest steep impulsive sell-off. The contract has traded through a key support at 106.735, Feb 19 low. Clearance of this level strengthens a bearish theme and signals scope for a deeper sell-off, towards 106.350 next, a Fibonacci retracement. The bear cycle is in oversold territory and the latest bounce is allowing this set-up to unwind. First resistance is 106.762, a Fibonacci retracement.

• RES 4: 1.3119 76.4% retracement of the Sep 26 ‘24 - Jan 13 bear leg
• RES 3: 1.3048 High Nov 6 ‘24
• RES 2: 1.2990 High Nov 8 2024
• RES 1: 1.2966 High Mar 11
• PRICE: 1.2928 @ 06:23 GMT Mar 12 
• SUP 1: 1.2768 Low Mar 5     
• SUP 2: 1.2718 20-day EMA
• SUP 3: 1.2605 50-day EMA and a short-term pivot support  
• SUP 4: 1.2559 Low Feb 28      

The trend in GBPUSD is unchanged, it remains bullish. Moving average studies have recently crossed into a bull-mode position, highlighting a clear dominant uptrend. A Fibonacci retracement at 1.2924, 61.8% of the Sep 26 ‘24 - Jan 13 bear leg, has been pierced. A clear break of this level would open 1.2990, the Nov 8 2024 high. Initial firm support is 1.2618, the 50-day EMA. A pullback would be considered corrective.