Chart EUR/CAD Update: Choppy trade - room for a test lower
Sharp selling interest has reached 1.5930, where unwinding oversold intraday studies have prompted a steady bounce back to congestion resistance at 1.6000
| Level | Comment | Level | Comment | |||||
|---|---|---|---|---|---|---|---|---|
| R4 | 1.6200 | historic congestion | S1 | 1.5900 | * | congestion | ||
| R3 | 1.6150~ | ** | March 2018 (y) high | S2 | 1.5800 | congestion | ||
| R2 | 1.6100/09 | * | cong; 1 Jul YTD high | S3 | 1.5700 | break level | ||
| R1 | 1.6000 | ** | congestion | S4 | 1.5600 | ** | congestion lows |
Asterisk denotes strength
11:30 BST - Sharp selling interest has reached 1.5930, where unwinding oversold intraday studies have prompted a steady bounce back to congestion resistance at 1.6000. A test above here cannot be ruled out. But unwinding overbought daily stochastics and a tick lower in the daily Tension Indicator are expected to limit scope in renewed selling interest beneath 1.6100. In the coming sessions, a fresh test lower is looked for. Support is at congestion around .5900. But rising weekly charts should limit any break in renewed buying interest above 1.5800. Meanwhile, a close above 1.6100/09, not yet seen, will turn sentiment positive once again and extend August 2022 gains towards critical multi-year resistance at the 1.6150~ year high of March 2018. Continuation beyond here will extend broader 2012 gains into levels from 3Q2009.