Chart EUR/GBP Update: Extending losses
Cautious trade has given way to the anticipated break below 0.8650
| Level | Comment | Level | Comment | |||||
|---|---|---|---|---|---|---|---|---|
| R4 | 0.8752~ | ** | 28 Jul YTD high | S1 | 0.8620 | * | GBP/EUR 1.1600 | |
| R3 | 0.8737 | ** | 11 Apr (m) high | S2 | 0.8600 | ** | cong, 38.2% ret | |
| R2 | 0.8695 | ** | GBP/EUR 1.1500 | S3 | 0.8555 | ** | 50% ret of May-Jul rally | |
| R1 | 0.8650 | ** | congestion | S4 | 0.8547/50 | ** | GBP/EUR 1.1700; cong |
Asterisk denotes strength of level
09:10 BST - Cautious trade has given way to the anticipated break below 0.8650, with focus turning to support at 0.8620, (GBP/EUR 1.1600). Both intraday and daily studies are under pressure, highlighting room for continuation beneath here towards stronger support at 0.8600. However, already oversold daily stochastics could limit any initial tests of this range in consolidation, before bearish weekly charts prompt a break. Late-July losses will then target the 0.8547/50 - 0.8555 range. Meanwhile, resistance is lowered to congestion around 0.8650. A close above here, if seen, will help to stabilise price action and prompt consolidation beneath 0.8695, (GBP/EUR 1.1500).