Chart EUR/CHF Update: Consolidating sharp losses - room for a further test lower
Sharp losses have met buying interest just above support at the 0.9267 monthly high of 31 March
| Level | Comment | Level | Comment | |||||
|---|---|---|---|---|---|---|---|---|
| R4 | 0.9395 | ** | 8 Dec (m) high | S1 | 0.9267 | ** | 31 Mar (m) high | |
| R3 | 0.9368 | 16 Dec (w) high | S2 | 0.9230 | congestion | |||
| R2 | 0.9350 | * | break level, 14 Jan YTD high | S3 | 0.9200 | ** | break level | |
| R1 | 0.9300 | ** | congestion | S4 | 0.9177 | ** | 2 Jul (w) low |
Asterisk denotes strength of level
11:30 BST - Sharp losses have met buying interest just above support at the 0.9267 monthly high of 31 March, as oversold intraday studies unwind. Short-covering is prompting a bounce to congestion resistance at 0.9300. But negative daily stochastics and a tick lower in the daily Tension Indicator should limit scope in renewed selling interest beneath strong resistance at 0.9350. In the coming sessions, cautious/choppy trade is expected to give way to further losses. A break below 0.9267 will add weight to sentiment and open up congestion around 0.9230. However, positive weekly charts should limit any initial tests in fresh consolidation.