Chart EUR/PLN Update: Daily studies continue to track lower
The anticipated break below 4.2500 has bounced from 4.2430
| Levels | Imp | Comment | Levels | Imp | Comment | |||
| R4 | 4.3100 | ** | 16 Apr YTD high | S1 | 4.2500 | * | congestion | |
| R3 | 4.3000 | * | break level | S2 | 4.2350 | * | congestion | |
| R2 | 4.2800 | ** | congestion | S3 | 4.2200/55 | ** | 50% ret; 9 Apr (w) low | |
| R1 | 4.2650 | * | break level | S4 | 4.1975/00 | ** | 61.8% ret; cong |
Asterisk denotes strength of level
13:50 BST - The anticipated break below 4.2500 has bounced from 4.2430, as intraday studies rise, with prices once again trading above 4.2500. Daily stochastics and the daily Tension Indicator continue to track lower, highlighting room for a retest below congestion support at 4.2500. However, mixed/positive weekly charts should limit any initial break in renewed consolidation above further congestion around 4.2350. Critical support is at the 4.2250 weekly low of 9 April and extends to the 4.2200 Fibonacci retracement. A close beneath here would turn sentiment negative and confirm completion of a multi-monthly distribution pattern beneath the 4.3100 current year high of 16 April. Focus would then turn to 4.1975/00. Meanwhile, resistance is at 4.2650 and extends to congestion around 4.2800. This range should cap any immediate tests higher.