Chart GBP/USD Update: Further consolidation - studies leaning lower
Little change, as strong selling interest around resistance at the 1.3000 break level keeps near-term sentiment cautious
| Level | Comment | Level | Comment | |||||
|---|---|---|---|---|---|---|---|---|
| R4 | 1.3200 | * | break level | S1 | 1.2900 | ** | congestion | |
| R3 | 1.3100/20 | * | cong; 76.4% ret of Sep-Jan fall | S2 | 1.2860 | * | 6-10 Mar lows | |
| R2 | 1.3050 | * | break level | S3 | 1.2800 | ** | congestion | |
| R1 | 1.3000 | ** | break level | S4 | 1.2700 | * | congestion |
Asterisk denotes strength of level
08:10 GMT - Little change, as strong selling interest around resistance at the 1.3000 break level keeps near-term sentiment cautious and extends consolidation beneath here. Intraday studies are under pressure, highlighting room for a drift down to 1.2950. But overbought daily stochastics are unwinding and the daily Tension Indicator is turning down, highlighting potential for continuation down to congestion support at 1.2900. However, rising weekly charts should limit any tests beneath here in renewed buying interest/consolidation above the 1.2860 lows from early March. Following corrective trade, fresh gains are looked for. A later close above 1.3000 will open up 1.3050. Continuation towards the 1.3120 Fibonacci retracement cannot be ruled out, but already overbought weekly stochastics should prompt profit-taking towards here.