Chart EUR/GBP Update: Room for higher
Overnight losses have given way to a steady bounce
| Level | Comment | Level | Comment | |||||
|---|---|---|---|---|---|---|---|---|
| R4 | 0.8620 | ** | GBP/EUR 1.1600 | S1 | 0.8500 | ** | congestion | |
| R3 | 0.8600 | * | congestion | S2 | 0.8473/75 | ** | 20 Jan (m) high; GBP/EUR 1.1800 | |
| R2 | 0.8575 | * | break level | S3 | 0.8450 | * | congestion | |
| R1 | 0.8547 | ** | GBP/EUR 1.1700 | S4 | 0.8400/03 | * | congestion; GBP/EUR 1.1900 |
Asterisk denotes strength of level
08:45 BST - Overnight losses have given way to a steady bounce, as intraday studies tick higher once again and daily readings continue to rise, with prices currently consolidating the test of resistance at 0.8547, (GBP/EUR 1.1700). Broader weekly charts have also ticked higher, highlighting a more constructive tone and room for continuation beyond here towards the 0.8575 break level. However, already overbought daily stochastics could limit any initial tests above here in profit-taking/consolidation towards 0.8600/20. Meanwhile, support is raised to congestion around 0.8500 and extends to 0.8473/75. This range should underpin any immediate setbacks. A close beneath here, if seen, would add weight to sentiment and lead to a deeper pullback as selling interest intensifies.