Chart EUR/GBP Update: Volatility giving way to consolidation - studies improving
Cautious trade has given way to a pullback to congestion support at 0.8560
| Level | Comment | Level | Comment | |||||
|---|---|---|---|---|---|---|---|---|
| R4 | 0.8650 | * | congestion | S1 | 0.8580 | * | break level | |
| R3 | 0.8620 | * | GBP/EUR 1.1600 | S2 | 0.8560 | * | congestion | |
| R2 | 0.8610 | * | 38.2% ret of Nov-Jul fall | S3 | 0.8547 | ** | GBP/EUR 1.1700 | |
| R1 | 0.8600 | ** | congestion | S4 | 0.8532 | ** | 12 Aug (m) low |
Asterisk denotes strength of level
09:05 BST - Cautious trade has given way to a pullback to congestion support at 0.8560, before bouncing sharply to test resistance within 0.8600/10. Prices are currently balanced around 0.8590 as intraday studies turn mixed. Daily readings have turned mixed/positive, highlighting room for a retest of resistance at congestion around 0.8600 and the 0.8610 Fibonacci retracement. Rising weekly charts suggest room for a later break above here and continuation of July gains beyond 0.8620, (GBP/EUR 1.1600), towards congestion around 0.8650.
Meanwhile, support is raised to 0.8580. A close beneath here, if seen, will turn sentiment neutral and prompt consolidation above 0.8560.