Chart GBP/USD Update: Leaning lower
Cautious trade has given way to the anticipated break below 1.3450
| Level | Comment | Level | Comment | |||||
|---|---|---|---|---|---|---|---|---|
| R4 | 1.3600 | * | congestion | S1 | 1.3400 | ** | congestion | |
| R3 | 1.3550 | * | congestion | S2 | 1.3367 | * | 28 May (w) low | |
| R2 | 1.3500 | ** | congestion | S3 | 1.3300 | ** | congestion | |
| R1 | 1.3450 | break level | S4 | 1.3275 | ** | 76.4% ret of Mar-May rally |
Asterisk denotes strength of level
08:10 BST - Cautious trade has given way to the anticipated break below 1.3450, with prices approaching congestion support at 1.3400. Daily stochastics have turned down and the daily Tension Indicator is coming under pressure, highlighting room for a break beneath here. But mixed weekly charts should limit any initial break in renewed consolidation above the 1.3367 weekly low of 28 May. A close beneath here, however, will add weight to sentiment and open up a test of congestion around 1.3300. Meanwhile, resistance is lowered to 1.3450. A close back above here will help to stabilise price action and prompt consolidation beneath congestion resistance at 1.3500.