Chart EUR/CAD Update: Volatility giving way to consolidation - studies rising
The spike to 1.5725 has been pushed back
| Level | Comment | Level | Comment | |||||
|---|---|---|---|---|---|---|---|---|
| R4 | 1.5800 | figure | S1 | 1.5500 | ** | congestion | ||
| R3 | 1.5725 | 3 Apr high | S2 | 1.5400 | * | congestion | ||
| R2 | 1.5700 | break level | S3 | 1.5325 | ** | 27 Mar (w) low | ||
| R1 | 1.5600 | * | congestion | S4 | 1.5300 | * | 50% ret of Feb-Mar rally |
Asterisk denotes strength
11:05 BST - The spike to 1.5725 has been pushed back, with prices currently balanced in heightened volatility around congestion at 1.5600. Daily readings are turning higher, highlighting room for a fresh break above here towards the 1.5725 high of 3 April. But mixed weekly readings are expected to limit any initial tests in fresh consolidation. Longer-term charts are positive, but a close above the 1.5855 current year high of 11 March is needed to turn sentiment positive and extend August 2022 gains towards 1.6000. Meanwhile, support is down to congestion around 1.5500. A close beneath here, if seen, will turn sentiment neutral and give way to fresh range trade above further congestion around 1.5400.