Chart EUR/USD Update: Consolidating - studies under pressure
The anticipated break below congestion support at 1.1400 has bounced from above the 1.1357 low of 4 June
| Levels | Imp | Comment | Levels | Imp | Comment | |||
|---|---|---|---|---|---|---|---|---|
| R4 | 1.1615 | November 2021 high | S1 | 1.1400 | * | congestion | ||
| 14 | 1.1600 | ** | congestion | S2 | 1.1357 | * | 4 Jun low | |
| R2 | 1.1573 | ** | 21 Apr YTD high | S3 | 1.1300 | * | break level | |
| R1 | 1.1500 | * | congestion | S4 | 1.1200 | * | congestion |
*Asterisk denotes strength of level
08:30 BST - The anticipated break below congestion support at 1.1400 has bounced from above the 1.1357 low of 4 June, as oversold intraday studies unwind, with prices currently trading around 1.1425. Daily readings are under pressure and broader weekly charts are mixed/negative, highlighting room for further losses in the coming sessions. A break back below 1.1400 will add weight to sentiment and open up a test of 1.1357. Further losses will target 1.1300. But by-then oversold daily stochastics could limit any initial tests in consolidation. Meanwhile, resistance remains at congestion around 1.1500. But a close above the 1.1573 current year high of 21 April will confirm continuation of September 2022 gains, and initially open up congestion around 1.1600 and the 1.1615 monthly high of November 2021.