Chart EUR/USD Update: Drifting lower
The anticipated break below 1.1600 has reached 1.1570~
| Levels | Imp | Comment | Levels | Imp | Comment | |||
|---|---|---|---|---|---|---|---|---|
| R4 | 1.1728 | ** | 17 Oct (w) high | S1 | 1.1550 | * | break level | |
| R3 | 1.1700 | * | congestion | S2 | 1.1500 | ** | congestion | |
| R2 | 1.1650 | * | congestion | S3 | 1.1470~ | ** | 5 Nov low | |
| R1 | 1.1600 | * | congestion | S4 | 1.1400 | ** | break level |
*Asterisk denotes strength of level
08:35 GMT - The anticipated break below 1.1600 has reached 1.1570~, where unwinding oversold intraday studies are prompting short-term reactions. Daily stochastics continue to track lower, unwinding overbought areas, and the rising daily Tension Indicator is flattening, highlighting room for further losses in the coming sessions. A break below 1.1570~ will open up support at the 1.1550 break level, with room for continuation down to congestion around 1.1500. Unwinding oversold weekly stochastics could limit any initial tests of here in consolidation. Meanwhile, a close back above congestion resistance at 1.1600 would help to stabilise price action and prompt consolidation beneath further congestion around 1.1650.