Chart EUR/USD Update: Back in range
Consolidation following the test of support at the 1.1542 weekly low of 9 October has given way to a bounce
| Levels | Imp | Comment | Levels | Imp | Comment | |||
|---|---|---|---|---|---|---|---|---|
| R4 | 1.1820 | * | 23 Sep (w) high | S1 | 1.1600 | ** | congestion | |
| R3 | 1.1800 | * | congestion | S2 | 1.1542 | 9 Oct (w) low | ||
| R2 | 1.1700 | * | congestion | S3 | 1.1500 | ** | congestion | |
| R1 | 1.1648 | 9 Oct high | S4 | 1.1400 | ** | cong, Jul-Aug (m) lows |
*Asterisk denotes strength of level
08:35 BST - Consolidation following the test of support at the 1.1542 weekly low of 9 October has given way to a bounce, with prices once again trading above 1.1600. Rising daily stochastics and the flattening bearish daily Tension Indicator highlight room for a break above the 1.1648 high of 9 October. But negative weekly charts should limit scope in renewed selling interest/consolidation beneath congestion around 1.1700. Following cautious trade, fresh losses are looked for. But a close below 1.1542 is needed to turn sentiment negative and extend mid-September losses towards congestion around 1.1500.