Chart GBP/USD Update: Poised for further gains
Consolidation following the anticipated test of strong resistance at the 1.3558 monthly high of 15 July is giving way to renewed buying interest
| Level | Comment | Level | Comment | |||||
|---|---|---|---|---|---|---|---|---|
| R4 | 1.3700 | ** | congestion, 76.4% ret | S1 | 1.3500 | * | congestion | |
| R3 | 1.3657 | ** | 1 May (m) high | S2 | 1.3450 | congestion | ||
| R2 | 1.3590/00 | ** | 61.8% ret; congestion | S3 | 1.3400 | ** | congestion | |
| R1 | 1.3558 | ** | 15 Jul (m) high | S4 | 1.3300 | ** | congestion |
Asterisk denotes strength of level
08:10 BST - Consolidation following the anticipated test of strong resistance at the 1.3558 monthly high of 15 July is giving way to renewed buying interest, as intraday studies continue to rise, with prices currently trading around 1.3565. Daily readings are ticking higher and broader weekly charts remain positive, suggesting room for further gains in the coming sessions. A close above here will improve sentiment and extend late-June gains initially towards strong resistance at the 1.3590 Fibonacci retracement and congestion around 1.3600. Beyond here is the 1.3657 monthly high of 1 May, where already overbought daily stochastics could prompt fresh consolidation.
Meanwhile, support is raised to congestion around1.3500. A close beneath here, if seen, will turn sentiment neutral and give way to consolidation above further congestion around 1.3450.