Chart EUR/USD Update: Consolidating - any gains to remain limited
Little change, as prices settle into consolidation beneath congestion resistance at 1.1500
| Levels | Imp | Comment | Levels | Imp | Comment | |||
|---|---|---|---|---|---|---|---|---|
| R4 | 1.1650 | break level | S1 | 1.1450 | congestion | |||
| R3 | 1.1600 | * | congestion | S2 | 1.1420 | ** | 76.4% ret of Jun-Aug rally | |
| R2 | 1.1550 | * | congestion | S3 | 1.1400 | ** | congestion | |
| R1 | 1.1500 | * | congestion | S4 | 1.1325 | ** | 24 Jun YTD low |
*Asterisk denotes strength of level
08:25 BST - Little change, as prices settle into consolidation beneath congestion resistance at 1.1500. Intraday studies and oversold daily stochastics are rising, suggesting room for a test. But the bearish daily Tension Indicator and deteriorating weekly charts should prompt renewed selling interest towards here. A close above 1.1500, however, will help to stabilise price action and prompt consolidation beneath further congestion around 1.1550.
Following cautious/corrective trade, fresh losses are looked for. Support remains at congestion around 1.1450. A later break will extend late-August losses towards the 1.1420 Fibonacci retracement and congestion around 1.1400. Already oversold daily stochastics could limit any initial tests in fresh short-covering/consolidation.