Chart EUR/CHF Update: Consolidating - room for a minor pullback
Consolidation beneath strong resistance at the 0.9475/80 current year highs has given way to a pullback
| Level | Comment | Level | Comment | |||||
|---|---|---|---|---|---|---|---|---|
| R4 | 0.9550 | * | congestion | S1 | 0.9400 | * | congestion | |
| R3 | 0.9500 | * | congestion | S2 | 0.9375 | congestion | ||
| R2 | 0.9475/80 | * | 14-17 Sep YTD highs | S3 | 0.9350 | * | break level | |
| R1 | 0.9450 | * | congestion | S4 | 0.9300/07 | ** | congestion; 19 Aug (w) low |
Asterisk denotes strength of level
11:15 BST - Consolidation beneath strong resistance at the 0.9475/80 current year highs has given way to a pullback, with the break below 0.9450 turning sentiment neutral and giving way to consolidation above 0.9430. Daily stochastics are turning down and the flat daily Tension Indicator is also coming under pressure, highlighting room for further losses in the coming sessions. Focus is expected to turn to congestion support at 0.9400. But mixed/positive weekly charts should limit any initial tests in fresh consolidation.
Meanwhile, a close above 0.9450 would help to stabilise price action. But a further close above the 0.9475/80 current year highs from 14-17 September is needed to turn sentiment positive and extend gains from the 0.8980 current year low of 9 March towards congestion around 0.9500.