Chart EUR/CHF Update: Short-term bounce
Consolidation at strong support within the 0.9190 Fibonacci retracement and congestion around 0.9200 has given way to a bounce
| Level | Comment | Level | Comment | |||||
|---|---|---|---|---|---|---|---|---|
| R4 | 0.9375 | congestion | S1 | 0.9190/00 | ** | 76.4% ret; congestion | ||
| R3 | 0.9350 | * | break level | S2 | 0.9170/77 | ** | 61.8% ret; 2 Jul (m) low | |
| R2 | 0.9300 | ** | congestion | S3 | 0.9150 | * | break level | |
| R1 | 0.9250 | ** | congestion | S4 | 0.9100 | ** | cong, 76.4% ret |
Asterisk denotes strength of level
10:50 GMT - Consolidation at strong support within the 0.9190 Fibonacci retracement and congestion around 0.9200 has given way to a bounce, as oversold intraday studies unwind, with prices currently trading around congestion resistance at 0.9250. Oversold daily stochastics are unwinding and the bearish daily Tension Indicator is flattening, suggesting an improvement in sentiment and room for a test above here. Focus will then turn to further congestion around 0.9300. But mixed/negative weekly charts should limit any tests in renewed consolidation.
Following cautious/corrective trade, fresh losses are looked for. However, a close below 0.9190/00 is needed to add weight to sentiment and extend late-September losses initially towards strong support within 0.9170/77.