Chart EUR/GBP Update: Choppy in range
The anticipated test of resistance at 0.8580 has given way to a pullback into choppy trade around 0.8570
| Level | Comment | Level | Comment | |||||
|---|---|---|---|---|---|---|---|---|
| R4 | 0.8620 | * | GBP/EUR 1.1600 | S1 | 0.8560 | * | congestion | |
| R3 | 0.8610 | * | 38.2% ret of Nov-Jul fall | S2 | 0.8547 | ** | GBP/EUR 1.1700 | |
| R2 | 0.8600 | ** | congestion | S3 | 0.8532 | ** | 12 Aug (m) low | |
| R1 | 0.8580 | * | break level | S4 | 0.8520 | congestion |
Asterisk denotes strength of level
09:15 BST - The anticipated test of resistance at 0.8580 has given way to a pullback into choppy trade around 0.8570. Oversold daily stochastics are unwinding, highlighting room for a retest in the coming sessions. But the bearish daily Tension Indicator should prompt renewed selling interest around here, before rising weekly charts prompt a break. A later close above here will open up congestion around 0.8600. However, a close above the 0.8610 Fibonacci retracement will improve price action and confirm continuation of July gains.
Meanwhile, support remains at congestion around 0.8560 and extends to 0.8547, (GBP/EUR 1.1700). A test beneath here, if seen, should give way to consolidation above the 0.8532 monthly low of 12 August.