Chart EUR/CHF Update: Cautious trade - gains to remain limited
The test below congestion support at 0.9300 has bounced from 0.9280
| Level | Comment | Level | Comment | |||||
|---|---|---|---|---|---|---|---|---|
| R4 | 0.9450 | * | congestion | S1 | 0.9300 | ** | congestion | |
| R3 | 0.9400 | * | congestion | S2 | 0.9260 | ** | 2 Oct (w) low | |
| R2 | 0.9375 | congestion | S3 | 0.9245/50 | ** | 61.8% ret; congestion | ||
| R1 | 0.9350 | * | break level | S4 | 0.9190/00 | ** | 76.4% ret; congestion |
Asterisk denotes strength of level
10:25 BST - The test below congestion support at 0.9300 has bounced from 0.9280, as intraday studies turn higher, with prices currently trading around 0.9315. Oversold daily stochastics are flattening, suggesting room for a drift higher. But the bearish daily Tension Indicator and negative weekly charts should limit scope in renewed selling interest beneath resistance at 0.9350.
Following cautious/corrective trade, fresh losses are looked for. A later break back below 0.9300 will open up the 0.9260 weekly low of 2 October. A further close beneath here will add weight to sentiment and extend September losses below strong support at the 0.9245 Fibonacci retracement and congestion around 0.9250, towards critical support at 0.9190/00.