GBPUSD TECHS: Trading Below Resistance At The 50-Day EMA
- RES 4: 1.2667 High Dec 19
- RES 3: 1.2610 38.2% retracement of the Sep 26 ‘24 - Jan 13 swing
- RES 2: 1.2576 High Jan 7
- RES 1: 1.2517/23 50-day EMA / High Jan 27
- PRICE: 1.2432 @ 16:27 GMT Jan 29
- SUP 1: 1.2392/2294 20-day EMA / Low Jan 23
- SUP 2: 1.2229 Low Jan 21
- SUP 3: 1.2100 Low Jan 10 and the bear trigger
- SUP 4: 1.2087 0.764 proj of the Sep 26 - Nov 22 - Dec 6 price swing
A bull cycle in GBPUSD remains in play and the pair is trading closer to its recent highs. The 20-day EMA has been breached and attention is on the 50-day EMA, at 1.2517 and an important resistance. Clearance of the average would highlight a stronger bull cycle. Medium-term trend signals are unchanged, they remain bearish. A reversal lower would refocus attention on 1.2100, the Jan 10 low and bear trigger.
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GBPUSD TECHS: Trend Needle Points South
- RES 4: 1.2874 High Nov 12
- RES 3: 1.2811 High Dec 6 and key resistance
- RES 2: 1.2734 50-day EMA
- RES 1: 1.2622 20-day EMA
- PRICE: 1.2510 @ 16:06 GMT Dec 30
- SUP 1: 1.2476 Low Dec 20
- SUP 2: 1.2446 Low May 9
- SUP 3. 1.2400 Round number support
- SUP 4: 1.2367 76.4% retracement of the Oct 4 ‘23 - Sep 26 uptrend
The trend structure in GBPUSD remains bearish and short-term gains are considered corrective. Key support at 1.2487, the Nov 22 low, was pierced on Dec 20. A clear breach of this level would confirm a resumption of the downtrend and open 1.2446 next, the May 9 low. Moving average studies are in a bear-mode position, highlighting a dominant downtrend. Key resistance to monitor is 1.2811, the Dec 6 high.
STIR: FED Reverse Repo Operation
RRP usage recedes to $260.743B this afternoon from $268.739B last Friday. Compares to $98.356B on Friday, December 20 - the lowest level since mid-April 2021. The number of counterparties recedes to 57 from 63 prior.
FED: US TSY 42D AUCTION: HIGH RATE 4.270%; 13.25% AT HIGH
- US TSY 42D AUCTION: HIGH RATE 4.270%; 13.25% AT HIGH
- US TSY 42D BILL AUCTION: DEALERS TAKE 23.87% OF COMPETITIVES
- US TSY 42D BILL AUCTION: DIRECTS TAKE 3.75% OF COMPETITIVES
- US TSY 42D BILL AUCTION: INDIRECTS TAKE 72.39% OF COMPETITIVES
- US TSY 42D AUCTION: BID/COVER 2.93
