Chart GBP/USD Update: Consolidating - studies under pressure
The anticipated test of congestion resistance at 1.3500 is giving way to expected selling interest
| Level | Comment | Level | Comment | |||||
|---|---|---|---|---|---|---|---|---|
| R4 | 1.3750~ | ** | January 2022 (y) high | S1 | 1.3400 | congestion | ||
| R3 | 1.3650 | * | congestion | S2 | 1.3300 | break level | ||
| R2 | 1.3593/00 | ** | 26 May YTD high; cong | S3 | 1.3250~ | * | range lows | |
| R1 | 1.3500 | ** | congestion | S4 | 1.3140 | ** | 12 May low |
Asterisk denotes strength of level
08:10 BST - The anticipated test of congestion resistance at 1.3500 is giving way to expected selling interest, as intraday studies turn down, with prices currently trading around 1.3460. Daily stochastics continue to fall and the daily Tension Indicator has also turned down, highlighting a deterioration in sentiment and room for further losses to congestion support at 1.3400. A later break beneath here will add weight to sentiment and open up 1.3300. Just lower are range lows around 1.3250, where fresh buying interest/consolidation is looked for. Meanwhile, a close above 1.3500, if seen, would help to stabilise price action and prompt consolidation beneath critical resistance at 1.3593/00.