Chart EUR/USD Update: Lower in range
Consolidation beneath resistance at the 1.1560~ high of 3 August has given way to a pullback
| Levels | Imp | Comment | Levels | Imp | Comment | |||
|---|---|---|---|---|---|---|---|---|
| R4 | 1.1620~ | * | 15 Jun (w) high | S1 | 1.1500 | ** | congestion | |
| R3 | 1.1600 | * | congestion | S2 | 1.1482 | ** | 15 Jul (w) high | |
| R2 | 1.1585 | ** | 50% ret of Apr-Jun fall | S3 | 1.1450 | * | congestion | |
| R1 | 1.1560~ | 3 Aug high | S4 | 1.1400 | * | congestion |
*Asterisk denotes strength of level
08:35 BST - Consolidation beneath resistance at the 1.1560~ high of 3 August has given way to a pullback, as overbought intraday studies unwind, with prices currently balanced around 1.1520. Overbought daily stochastics are also unwinding, highlighting room for a test of congestion support at 1.1500. But the positive daily Tension Indicator and improving weekly charts should limit any break in renewed buying interest/consolidation above the 1.1482 weekly high of 15 July. A close beneath here, if seen, would add weight to sentiment and prompt a deeper pullback towards 1.1450. Meanwhile, a close above 1.1560 would improve sentiment and extend late-June gains initially towards strong resistance at the 1.1585 Fibonacci retracement and congestion around 1.1600.