Chart EUR/GBP Update: Fresh 2024 lows
Cautious trade has given way to the anticipated break lower
| Level | Comment | Level | Comment | |||||
|---|---|---|---|---|---|---|---|---|
| R4 | 0.8333 | * | GBP/EUR 1.2000 | S1 | 0.8235 | intraday low | ||
| R3 | 0.8300 | congestion | S2 | 0.8215 | ** | 50% ret of 2015-2020 rally | ||
| R2 | 0.8265 | * | GBP/EUR 1.2100 | S3 | 0.8200/03 | ** | congestion; March 2022 (y) low | |
| R1 | 0.8259 | ** | 11 Nov (m) low | S4 | 0.8196 | * | GBP/EUR 1.2200 |
Asterisk denotes strength of level
08:45 GMT - Cautious trade has given way to the anticipated break lower, with prices currently balanced above the 0.8235~ fresh year low of 2024. Oversold intraday studies are unwinding, suggesting short-term consolidation, before deteriorating daily readings and bearish weekly charts prompt further losses. A break below 0.8235 will open up strong support within the 0.8215 Fibonacci retracement and 0.8196/03. But already oversold daily stochastics could limit any initial tests of this area in fresh consolidation. A break, however, will add fresh weight to sentiment and signal a more significant decline. Meanwhile, a close back above resistance at the 0.8259 monthly low of 11 November and 0.8265, (GBP/EUR 1.2100), is needed to stabilise price action and prompt consolidation beneath congestion around 0.8300