Chart EUR/USD Update: Room for lower
Anticipated losses are meeting buying interest just above congestion support at 1.1600
| Levels | Imp | Comment | Levels | Imp | Comment | |||
|---|---|---|---|---|---|---|---|---|
| R4 | 1.1918 | ** | 17 Sep YTD high | S1 | 1.1600 | ** | congestion | |
| R3 | 1.1900 | ** | historic congestion | S2 | 1.1500 | ** | congestion | |
| R2 | 1.1800 | * | congestion | S3 | 1.1400 | ** | congestion | |
| R1 | 1.1700 | * | congestion | S4 | 1.1300 | ** | congestion |
*Asterisk denotes strength of level
08:30 BST - Anticipated losses are meeting buying interest just above congestion support at 1.1600, with prices currently trading around 1.1620. Both intraday and daily studies are under pressure, however, and broader weekly charts are also negative, highlighting room for further losses in the coming sessions. A break below 1.1600 will add weight to already bearish price action, and extend mid-September losses initially towards further congestion around 1.1500. Already oversold daily stochastics could limit any initial tests in renewed consolidation. Meanwhile, resistance remains at congestion around 1.1700. A close above here, if seen, would help to stabilise price action and prompt consolidation beneath 1.1800.