Chart EUR/GBP Update: Limited tests higher
The anticipated break below congestion support at 0.8720 has not been seen
| Level | Comment | Level | Comment | |||||
|---|---|---|---|---|---|---|---|---|
| R4 | 0.8850 | * | GBP/EUR 1.1300 | S1 | 0.8740 | break level | ||
| R3 | 0.8840 | * | 20 Nov (w) high | S2 | 0.8720 | * | congestion | |
| R2 | 0.8800 | * | break level | S3 | 0.8695/00 | * | GBP/EUR 1.1500; cong | |
| R1 | 0.8772 | * | GBP/EUR 1.1400 | S4 | 0.8670 | ** | Oct congestion lows |
Asterisk denotes strength of level
08:45 GMT - The anticipated break below congestion support at 0.8720 has not been seen, as unwinding oversold daily stochastics prompt a bounce and break above 0.8740 to 0.8750. Continuation beyond here will open up 0.8772, (GBP/EUR 1.1400). But the bearish daily Tension Indicator and negative weekly charts are expected to prompt renewed selling interest towards here. Following cautious/corrective trade, fresh losses are looked for. Support is at 0.8720/40. A break beneath here will add weight to sentiment and extend mid-November losses towards support at 0.8695, (GBP/EUR 1.1500), and congestion around 0.8700. By-then oversold daily stochastics could limit any initial tests in consolidation, before losses extend still further.