Chart GBP/USD Update: Leaning lower in choppy trade
Consolidation around 1.3400 has given way to a fresh selling interest
| Level | Comment | Level | Comment | |||||
|---|---|---|---|---|---|---|---|---|
| R4 | 1.3500 | ** | congestion | S1 | 1.3300 | * | congestion | |
| R3 | 1.3465 | * | 38.2% ret of Jan-Mar fall | S2 | 1.3250 | * | recent lows, congestion | |
| R2 | 1.3450 | ** | congestion | S3 | 1.3200/15 | ** | cong; 76.4% ret of Nov-Jan rally | |
| R1 | 1.3400 | ** | congestion | S4 | 1.3100 | * | congestion |
Asterisk denotes strength of level
08:10 GMT - Consolidation around 1.3400 has given way to a fresh selling interest, as intraday studies turn down, with prices currently trading around 1.3350. Overbought daily stochastics are also ticking lower, suggesting room for a test of congestion support at 1.330. But the rising daily Tension Indicator and mixed weekly charts should limit any deeper losses in renewed consolidation above 1.3250. Stronger support is at congestion around 1.3200 and the 1.3215 Fibonacci retracement. A close beneath here would turn sentiment negative and confirm continuation of late-January losses. Meanwhile, a close back above congestion resistance at 1.3400 would help to stabilise price action and prompt consolidation beneath strong resistance at congestion around 1.3450 and the 1.3465 Fibonacci retracement.