Chart EUR/USD Update: Prices remain under pressure
Anticipated losses have reached support at the 1.1520 Fibonacci retracement
| Levels | Imp | Comment | Levels | Imp | Comment | |||
|---|---|---|---|---|---|---|---|---|
| R4 | 1.1700/10 | * | congestion; 21 Aug (m) high | S1 | 1.1520 | ** | 50% ret of Jun-Aug rally | |
| R3 | 1.1650 | break level | S2 | 1.1500 | * | congestion | ||
| R2 | 1.1600 | * | congestion | S3 | 1.1475 | ** | 61.8% ret of Jun-Aug rally | |
| R1 | 1.1550 | * | congestion | S4 | 1.1420 | ** | 76.4% ret of Jun-Aug rally |
*Asterisk denotes strength of level
08:25 BST - Anticipated losses have reached support at the 1.1520 Fibonacci retracement, where mixed/negative weekly charts are prompting choppy trade. Daily readings remain under pressure and broader weekly charts are also deteriorating, highlighting room for further losses in the coming sessions. A close beneath here will add weight to sentiment and extend late-August losses below congestion support at 1.1500 towards the 1.1475 retracement. However, already oversold daily stochastics could limit any initial tests in consolidation, before deteriorating weekly charts prompt further losses.
Meanwhile, resistance is lowered to congestion around 1.1550. A close above here, if seen, will help to stabilise price action and prompt fresh consolidation beneath 1.1600.