Chart GBP/USD Update: Consolidating gains
Sharp gains have given way to consolidation beneath 1.3560~ high of 2 June
| Level | Comment | Level | Comment | |||||
|---|---|---|---|---|---|---|---|---|
| R4 | 1.3800 | ** | congestion | S1 | 1.3500 | ** | congestion | |
| R3 | 1.3750~ | ** | January 2022 (y) high | S2 | 1.3400 | congestion | ||
| R2 | 1.3650 | * | congestion | S3 | 1.3300 | break level | ||
| R1 | 1.3593/00 | ** | 26 May YTD high; cong | S4 | 1.3250~ | * | range lows |
Asterisk denotes strength of level
08:10 BST - Sharp gains have given way to consolidation beneath 1.3560~ high of 2 June, as intraday studies turn down, with prices currently trading around 1.3525. Flat daily readings are also coming under pressure, and overbought weekly stochastics are leaning lower, suggesting room for a test back below congestion support at 1.3500. Focus will then turn to further congestion around 1.3400. But the positive weekly Tension Indicator and rising longer-term readings are expected to limit any initial tests in renewed consolidation. Following cautious trade, fresh gains are looked for. But a close above the 1.3593 current year high of 26 May and congestion around 1.3600 is needed to turn sentiment positive and confirm continuation of September 2022 gains, initially to congestion around 1.3650.