Chart GBP/USD Update: Test of year lows not sustained - prices back in range
Cautious trade has given way to a sharp break below 1.3200
| Level | Comment | Level | Comment | |||||
|---|---|---|---|---|---|---|---|---|
| R4 | 1.3400 | ** | congestion | S1 | 1.3200 | ** | cong, 38.2% ret | |
| R3 | 1.3360 | * | range lows | S2 | 1.3137/40 | ** | 24 Jun-14 Oct YTD lows | |
| R2 | 1.3300 | ** | congestion | S3 | 1.3100 | ** | congestion | |
| R1 | 1.3273 | ** | 28 Jul (w) low | S4 | 1.3000/10 | ** | cong; November 2025 low |
Asterisk denotes strength of level
08:10 BST - Cautious trade has given way to a sharp break below 1.3200, with prices reaching strong support at the 1.3140 monthly low of 24 June before bouncing smartly back into consolidation above 1.3200. Intraday studies have ticked higher once again and both daily stochastics and the daily Tension Indicator continue to rise, pointing to room for further gains in the coming sessions. Immediate resistance is at the 1.3273 weekly low of 28 July and extends to congestion around 1.3300. However, negative weekly charts should limit any initial tests in fresh consolidation. Continuation beyond here, however, will improve sentiment and open up the 1.3360 range lows, where renewed selling interest is expected to appear.
Meanwhile, support is at 1.3200. A close back beneath here will add weight to sentiment and put focus back on 1.3137/40.