Chart EUR/GBP Update: Consolidating - any immediate gains to remain limited
Little change, as prices extend cautious trade within the 0.8547 - 0.8560 range
| Level | Comment | Level | Comment | |||||
|---|---|---|---|---|---|---|---|---|
| R4 | 0.8610 | * | 38.2% ret of Nov-Jul fall | S1 | 0.8547 | ** | GBP/EUR 1.1700 | |
| R3 | 0.8600 | ** | congestion | S2 | 0.8532 | * | 12 Aug (w) low | |
| R2 | 0.8585 | * | recent range highs | S3 | 0.8520 | congestion | ||
| R1 | 0.8560 | congestion base | S4 | 0.8500 | ** | congestion |
Asterisk denotes strength of level
08:45 BST - Little change, as prices extend cautious trade within the 0.8547 - 0.8560 range. Intraday studies are turning higher and bearish daily stochastics are flattening, suggesting room for a test above resistance at 0.8560. But the negative daily Tension Indicator should limit initial scope in fresh consolidation beneath the 0.8585 recent range highs, before rising weekly charts prompt a break. A later close above here will improve sentiment and extend July gains initially towards congestion around 0.8600.
Meanwhile, a break below support at 0.8547, (GBP/EUR 1.1700), will open up strong support at the 0.8532 weekly low of 12 August, where fresh buying interest/consolidation is looked for. A close beneath here, if seen, would add weight to sentiment and confirm a near-term top in place at 0.8585, as late-July losses then focus on support within the 0.8500/20 range.