Published: 2024-10-22T09:48:18.000Z
Chart EUR/CAD Update: Choppy trade - sentiment is cautious
Senior Technical Strategist
-
Consolidation around 1.5000 has given way to a pullback to congestion support at 1.4950
Level | Comment | Level | Comment | |||||
---|---|---|---|---|---|---|---|---|
R4 | 1.5150 | congestion tops | S1 | 1.4950 | congestion | |||
R3 | 1.5100 | * | break level | S2 | 1.4900 | ** | 50% ret of Jun-Aug rally | |
R2 | 1.5050 | break level | S3 | 1.4830 | ** | 61.8% ret of Jun-Aug rally | ||
R1 | 1.5000 | * | congestion | S4 | 1.4800 | * | congestion |
Asterisk denotes strength
10:25 BST - Consolidation around 1.5000 has given way to a pullback to congestion support at 1.4950, where mixed intraday studies are prompting a minor bounce. Daily stochastics are ticking higher, suggesting room for a retest of congestion resistance at 1.5000. But the negative daily Tension Indicator and mixed/negative weekly charts are expected to limit any break in renewed selling interest towards 1.5050. Meanwhile, support remains at 1.4950. A close beneath here would add weight to sentiment and open up stronger support at the 1.4900 Fibonacci retracement. A close beneath here is needed to turn sentiment outright negative and confirm continuation of August losses, initially to the 1.4830 retracement.