Chart EUR/USD Update: Consolidating test of 1.0500 - studies rising
The test of resistance at 1.0500 is giving way to a minor pullback
| Levels | Imp | Comment | Levels | Imp | Comment | |||
|---|---|---|---|---|---|---|---|---|
| R4 | 1.0600 | * | break level | S1 | 1.0450 | congestion | ||
| 14 | 1.0570 | ** | 38.2% ret of Sep-Jan fall | S2 | 1.0400 | ** | congestion | |
| R2 | 1.0533 | ** | 27 Jan YTD high | S3 | 1.0350 | * | break level | |
| R1 | 1.0500 | * | break level | S4 | 1.0300 | congestion |
Asterisk denotes strength of level
08:30 GMT - The test of resistance at 1.0500 is giving way to a minor pullback, as overbought intraday studies unwind, with prices currently trading around 1.0475. Daily stochastics and the daily Tension Indicator continue to rise, and broader weekly charts are also positive, highlighting room for still further strength in the coming sessions. However, a close above the 1.0533 current year high of 27 January is needed to turn sentiment positive and confirm continuation of January gains, initially to the 1.0570 Fibonacci retracement. Meanwhile, support is at congestion around 1.0450. Any tests beneath here should be limited in consolidation above 1.0400.