Chart EUR/PLN Update: Extending April losses
Cautious trade has given way to the anticipated break lower
| Levels | Imp | Comment | Levels | Imp | Comment | |||
| R4 | 4.2600 | * | break level | S1 | 4.1975/00 | ** | 61.8% ret; cong | |
| R3 | 4.2500 | * | congestion | S2 | 4.1800 | * | congestion | |
| R2 | 4.2350 | * | congestion | S3 | 4.1700 | ** | 76.4% ret of Feb-Apr rally | |
| R1 | 4.2200 | * | congestion | S4 | 4.1600 | congestion |
Asterisk denotes strength of level
13:20 GMT - Cautious trade has given way to the anticipated break lower, with April losses approaching strong support at the 4.1975 Fibonacci retracement and congestion around 4.2000. Flattening oversold daily stochastics could limit any initial tests in consolidation, before the negative daily Tension Indicator and bearish weekly charts prompt further losses. A close beneath here will add weight to already bearish price action and open up a test of congestion support at 4.1800. Meanwhile, resistance is lowered to congestion around 4.2200. An unexpected close above here will help to stabilise price action and give way to consolidation beneath further congestion around 4.2350.