Chart EUR/USD Update: Drifting lower
A quiet drift lower has reached congestion support at 1.1600
| Levels | Imp | Comment | Levels | Imp | Comment | |||
|---|---|---|---|---|---|---|---|---|
| R4 | 1.1800 | * | break level | S1 | 1.1600 | * | congestion | |
| R3 | 1.1728 | ** | 17 Oct (w) high | S2 | 1.1550 | * | break level | |
| R2 | 1.1700 | * | congestion | S3 | 1.1500 | ** | congestion | |
| R1 | 1.1650 | * | congestion | S4 | 1.1470~ | ** | 5 Nov low |
*Asterisk denotes strength of level
08:30 GMT - A quiet drift lower has reached congestion support at 1.1600, where short-term consolidation is developing. Intraday studies are falling and overbought daily stochastics are turning down, highlighting room for a break beneath here. Focus will then turn to the 1.1550 break level. But the rising daily Tension Indicator and flat oversold weekly stochastics should limit any initial tests in consolidation, before the bearish weekly Tension Indicator extends losses towards congestion around 1.1500. Meanwhile, resistance is at congestion around 1.1650. A close above here, if seen, will extend November gains towards further congestion around 1.1700.