Chart GBP/USD Update: Limited tests higher
The break below 1.3300 has bounced smartly from 1.3262
| Level | Comment | Level | Comment | |||||
|---|---|---|---|---|---|---|---|---|
| R4 | 1.3527 | * | 1 Oct (w) high | S1 | 1.3300 | * | congestion | |
| R3 | 1.3500 | * | congestion | S2 | 1.3262 | * | 10 Oct (w) low | |
| R2 | 1.3400 | * | congestion | S3 | 1.3200 | * | congestion | |
| R1 | 1.3370 | 10 Oct high | S4 | 1.3140 | ** | May-Aug lows |
Asterisk denotes strength of level
08:10 BST - The break below 1.3300 has bounced smartly from 1.3262, with prices currently balanced beneath the 1.3370 high of 10 October. A break above here, if seen, will open up congestion around 1.3400. But a tick lower in overbought intraday studies and negative daily readings are expected to limit any tests in renewed selling interest. Following cautious trade, fresh losses are looked for. A break back below congestion support at 1.3300 will add weight to sentiment and open up congestion around 1.3200. But flattening oversold weekly stochastics are expected to limit any deeper losses in short-covering/consolidation above the 1.3140 lows from May-August.