Chart GBP/USD Update: Immediate gains to remain limited
The opening gap below 1.3400 has bounced from 1.3380
| Level | Comment | Level | Comment | |||||
|---|---|---|---|---|---|---|---|---|
| R4 | 1.3600 | ** | congestion; 61.8% ret | S1 | 1.3400 | ** | congestion | |
| R3 | 1.3550 | * | congestion | S2 | 1.3350 | congestion | ||
| R2 | 1.3500/15 | ** | congestion; 50% ret | S3 | 1.3300 | * | congestion | |
| R1 | 1.3450 | break level | S4 | 1.3200 | * | congestion |
Asterisk denotes strength of level
08:10 BST - The opening gap below 1.3400 has bounced from 1.3380, with prices currently trading around 1.3420. Focus is on resistance at 1.3450, but negative intraday studies and a tick lower in overbought daily stochastics should limit any immediate break in consolidation beneath strong resistance at congestion around 1.3500 and the 1.3515 Fibonacci retracement. The daily Tension Indicator is rising and broader weekly charts are improving, highlighting room for further gains in the coming sessions. But a close above 1.3500/15 is needed to turn sentiment positive and extend late-March gains towards 1.3550. Meanwhile, any immediate tests below 1.3400 should be limited in consolidation above congestion around 1.3350.