Chart EUR/USD Update: Prices remain under pressure
Anticipated losses have reached congestion support at 1.1400
| Levels | Imp | Comment | Levels | Imp | Comment | |||
|---|---|---|---|---|---|---|---|---|
| R4 | 1.1750 | * | break level | S1 | 1.1400 | ** | congestion | |
| R3 | 1.1700 | * | congestion | S2 | 1.1360 | ** | 61.8% ret of May-Jul rally | |
| R2 | 1.1600 | * | congestion | S3 | 1.1300 | * | congestion | |
| R1 | 1.1500 | ** | congestion | S4 | 1.1250 | ** | 76.4% ret of May-Jul rally |
*Asterisk denotes strength of level
08:30 BST - Anticipated losses have reached congestion support at 1.1400, where unwinding oversold intraday studies and flattening oversold daily stochastics are prompting short-term reactions. However, the daily Tension Indicator continues to point lower and broader weekly charts are negative, highlighting a bearish tone and room for still deeper losses in the coming sessions. A close below 1.1400 will extend July losses initially to the 1.1360 Fibonacci retracement. A further close beneath here will open up 1.1300. Meanwhile, resistance is lowered to congestion around 1.1500. A close above here, if seen, will help to stabilise price action and prompt consolidation beneath further congestion around 1.1600.