Chart EUR/USD Update: Immediate gains not sustained - daily studies rising
Anticipated gains have reached 1.1270
| Levels | Imp | Comment | Levels | Imp | Comment | |||
|---|---|---|---|---|---|---|---|---|
| R4 | 1.1340 | ** | 38.2% ret of Aug-Oct fall | S1 | 1.1200 | ** | break level | |
| R3 | 1.1325 | ** | 24 Jun (m) low | S2 | 1.1130 | ** | 50% ret of 2025-2026 rally | |
| R2 | 1.1300 | ** | congestion | S3 | 1.1100/15 | ** | figure; 14 Oct YTD low | |
| R1 | 1.1270/80 | ** | 16 Oct (w) high; break level | S4 | 1.1065 | ** | 12 May (m) low |
*Asterisk denotes strength of level
08:25 BST - Anticipated gains have reached 1.1270, where unwinding overbought intraday studies have prompted a pullback into consolidation above support at 1.1200. Bearish intraday studies highlight room for a retest beneath here. But rising daily stochastics and the positive daily Tension Indicator should limit scope in renewed buying interest above critical support at the 1.1115 current year low of 14 October and the 1.1130 Fibonacci retracement.
Following cautious/corrective trade, fresh gains are looked for. However, a close above 1.1270 is needed to turn sentiment positive and extend mid-October gains beyond congestion around 1.1300 towards strong resistance within 1.1325/40. Mixed/negative weekly charts should prompt fresh profit-taking towards here.