Chart EUR/GBP Update: Under pressure
Cautious trade is giving way to anticipated selling interest
| Level | Comment | Level | Comment | |||||
|---|---|---|---|---|---|---|---|---|
| R4 | 0.8620 | * | GBP/EUR 1.1600 | S1 | 0.8560 | * | congestion | |
| R3 | 0.8610 | * | 38.2% ret of Nov-Jul fall | S2 | 0.8547 | ** | GBP/EUR 1.1700 | |
| R2 | 0.8600 | ** | congestion | S3 | 0.8532 | ** | 12 Aug (m) low | |
| R1 | 0.8580 | * | break level | S4 | 0.8500 | ** | congestion |
Asterisk denotes strength of level
09:45 BST - Cautious trade is giving way to anticipated selling interest, as intraday studies turn down, with prices falling sharply into support within 0.8547, (GBP/EUR 1.1700), and congestion around 0.8560. Daily readings are bearish and broader weekly charts are under pressure, highlighting room for deeper losses in the coming sessions. A later close below 0.8547 will add weight to sentiment and open up a test of strong support at the 0.8532 monthly low of 12 August.
Meanwhile, resistance remains at 0.8580. A close above here, if seen, will help to stabilise sentiment and give way to range trade beneath critical resistance at congestion around 0.8600 and the 0.8610 Fibonacci retracement.