Chart USD/CHF Update: Cautious trade
Still little change, as prices extend consolidation following the anticipated minor bounce to congestion resistance at 0.7850
| Level | Comment | Level | Comment | |||||
|---|---|---|---|---|---|---|---|---|
| R4 | 0.8000 | * | break level | S1 | 0.7800 | * | congestion | |
| R3 | 0.7950 | * | congestion | S2 | 0.7770 | ** | 61.8% ret of Jan-Mar rally | |
| R2 | 0.7900 | ** | congestion | S3 | 0.7750 | * | congestion | |
| R1 | 0.7850 | * | congestion | S4 | 0.7700/10 | ** | congestion; 76.4% ret |
Asterisk denotes strength of level
09:15 BST - Still little change, as prices extend consolidation following the anticipated minor bounce to congestion resistance at 0.7850. Oversold daily stochastics are edging higher, suggesting room for a test above here. But the bearish daily Tension Indicator and unwinding overbought weekly stochastics should limit scope in renewed selling interest beneath further congestion around 0.7900. Meanwhile, support remains at congestion around 0.7800. A close beneath here will add weight to sentiment and extend late-March losses below the 0.7770 Fibonacci retracement towards congestion around 0.7750. Still lower is 0.7700/10, where more significant short-covering/consolidation could develop.