Chart EUR/USD Update: Limited tests higher - studies under pressure
Anticipated consolidation around support at the 1.1540 Fibonacci retracement is giving way to a minor bounce
| Levels | Imp | Comment | Levels | Imp | Comment | |||
|---|---|---|---|---|---|---|---|---|
| R4 | 1.1800 | * | congestion | S1 | 1.1540 | * | 38.2% ret of May-Jul rally | |
| R3 | 1.1750 | * | break level | S2 | 1.1500 | ** | congestion | |
| R2 | 1.1700 | * | congestion | S3 | 1.1450 | ** | 50% ret of May-Jul rally | |
| R1 | 1.1600 | * | congestion | S4 | 1.1400 | ** | congestion |
*Asterisk denotes strength of level
08:30 BST - Anticipated consolidation around support at the 1.1540 Fibonacci retracement is giving way to a minor bounce, as intraday studies turn higher, with prices currently trading around 1.1560. Daily readings continue to point lower and broader weekly charts are under pressure, suggesting any further strength should be limited in renewed selling interest towards congestion resistance at 1.1600. In the coming sessions, cautious trade is expected to give way to fresh losses. A later break below 1.1540 will add weight to sentiment and extend July losses towards congestion around 1.1500. Beneath here is the 1.1450 retracement. Meanwhile, a close above 1.1600, if seen, would help to stabilise price action and prompt consolidation beneath further congestion around 1.1700.