Chart EUR/USD Update: Consolidation - studies under pressure
The anticipated test of resistance at the 1.1655 weekly low of 30 April is giving way to consolidation
| Levels | Imp | Comment | Levels | Imp | Comment | |||
|---|---|---|---|---|---|---|---|---|
| R4 | 1.1800 | ** | congestion | S1 | 1.1600 | ** | congestion | |
| R3 | 1.1750 | congestion | S2 | 1.1550 | * | congestion | ||
| R2 | 1.1700 | ** | congestion | S3 | 1.1500 | ** | congestion | |
| R1 | 1.1655 | ** | 30 Apr (w) low | S4 | 1.1450 | * | congestion |
*Asterisk denotes strength of level
08:35 BST - The anticipated test of resistance at the 1.1655 weekly low of 30 April is giving way to consolidation, as overbought intraday studies unwind, with prices currently balanced around 1.1635. Oversold daily stochastics are flat, suggesting room for consolidation, before the bearish daily Tension Indicator and deteriorating weekly charts prompt fresh losses. Support remains at congestion around 1.1600. A later close beneath here will add weight to sentiment and extend mid-April losses towards further congestion around 1.1550. Meanwhile, a close above 1.1655, if seen, should give way to consolidation beneath 1.1700.