Chart EUR/USD Update: Range trade - any gains to remain limited
Still little change
| Levels | Imp | Comment | Levels | Imp | Comment | |||
|---|---|---|---|---|---|---|---|---|
| R4 | 1.1930~ | ** | 9-11 Feb (w) high | S1 | 1.1770 | ** | 61.8% ret of January rally | |
| R3 | 1.1900 | * | congestion | S2 | 1.1750 | ** | congestion | |
| R2 | 1.1850 | * | break level | S3 | 1.1695/00 | ** | 76.4% ret; congestion | |
| R1 | 1.1800 | * | congestion | S4 | 1.1650 | ** | congestion |
*Asterisk denotes strength of level
08:35 GMT - Still little change, as prices extend consolidation within the tight 1.1770 - 1.1800 range. Intraday studies are rising and oversold daily stochastics are also improving, highlighting room for a test above congestion resistance at 1.1800. However, the bearish daily Tension Indicator and negative weekly charts should limit scope in renewed selling interest beneath resistance at 1.1850. Following cautious/corrective trade, fresh losses are looked for. Support is at the 1.1770 Fibonacci retracement. But a close below congestion support at 1.1750 will add weight to sentiment and extend January losses towards strong support at the 1.1695 retracement and congestion around 1.1700. Oversold daily stochastics could limit any initial tests in short-covering/consolidation.