Chart EUR/CAD Update: Consolidating test of year high - background studies rising
Fresh tests higher have met selling interest at the 1.5960 current year high of 21 April
| Level | Comment | Level | Comment | |||||
|---|---|---|---|---|---|---|---|---|
| R4 | 1.6200 | historic congestion | S1 | 1.5900 | * | congestion | ||
| R3 | 1.6150~ | ** | Mar 2018 (y) high | S2 | 1.5800 | congestion | ||
| R2 | 1.5990/00 | ** | Mar 2020 (y) high; cong | S3 | 1.5700 | break level | ||
| R1 | 1.5960 | ** | 21 Apr YTD high | S4 | 1.5600 | * | congestion |
Asterisk denotes strength
11:10 BST - Fresh tests higher have met selling interest at the 1.5960 current year high of 21 April, as overbought intraday studies turn down, unwinding negative divergence. Consolidation support at 1.5900 is coming into view, with room for a test beneath here as overbought daily stochastics flatten. However, the positive daily Tension Indicator and rising weekly charts should limit scope in renewed buying interest/consolidation above 1.5800. Following corrective trade, fresh gains are looked for. A close above 1.5960 is needed to turn sentiment positive and extend mid-May gains, initially towards the 1.5990 year high of March 2020 and congestion around 1.6000.