Chart GBP/USD Update: Extending August gains
Consolidation around 1.3500 has given way to further gains
| Level | Comment | Level | Comment | |||||
|---|---|---|---|---|---|---|---|---|
| R4 | 1.3788 | ** | 1 Jul YTD high | S1 | 1.3500 | ** | congestion | |
| R3 | 1.3752 | 2 Jul high | S2 | 1.3400 | * | congestion | ||
| R2 | 1.3681 | 4 Jul high | S3 | 1.3300 | * | congestion | ||
| R1 | 1.3590/00 | ** | 24 Jul (w) high; cong | S4 | 1.3200 | * | congestion |
Asterisk denotes strength of level
08:10 BST - Consolidation around 1.3500 has given way to further gains, as intraday studies turn higher once again, with prices currently trading around 1.3540. The daily Tension Indicator is positive, pointing to room for a test of resistance at the 1.3590 weekly high of 24 July and congestion around 1.3600. But already overbought daily stochastics and mixed weekly charts are expected to limit any initial tests in consolidation. A close above here, however, will improve sentiment and extend August gains towards towards the 1.3681 high of 4 July. Meanwhile, support is raised to congestion around 1.3500. A close beneath here, if seen, will turn sentiment neutral once again and prompt consolidation above further congestion around 1.3400.