Chart EUR/PLN Update: Lower in range
The anticipated test of resistance at 4.2650 is giving way to a pullback
| Levels | Imp | Comment | Levels | Imp | Comment | |||
| R4 | 4.3100 | ** | 16 Apr YTD high | S1 | 4.2500 | * | congestion | |
| R3 | 4.3000 | * | break level | S2 | 4.2350 | * | congestion | |
| R2 | 4.2800 | ** | congestion | S3 | 4.2200/55 | ** | 50% ret; 9 Apr (w) low | |
| R1 | 4.2650 | * | break level | S4 | 4.1975/00 | ** | 61.8% ret; cong |
Asterisk denotes strength of level
12:00 BST - The anticipated test of resistance at 4.2650 is giving way to a pullback, as intraday studies turn down, with immediate focus on congestion support at 4.2500. Rising daily stochastics are flattening and the daily Tension Indicator continues to fall, highlighting room for a later break beneath here towards further congestion around 4.2350. A tick lower in broader weekly charts points to potential for still further losses towards critical support at the 4.2250 weekly low of 9 April and the 4.2200 Fibonacci retracement. A close beneath here would turn sentiment negative and confirm completion of a multi-month distribution pattern beneath the 4.3100 current year high of 16 April. Focus would then turn to 4.1975/00. Meanwhile, a close above 4.2650 would help to improve sentiment and prompt extension towards congestion resistance at 4.2800.