Chart EUR/USD Update: January gains focusing on 1.0875 - 1.0900
Cautious trade around 1.0800 is giving way to fresh gains
| Levels | Imp | Comment | Levels | Imp | Comment | |||
|---|---|---|---|---|---|---|---|---|
| R4 | 1.1000 | ** | break level | S1 | 1.0800 | * | break level | |
| 14 | 1.0970 | ** | 76.4% ret of Sep-Jan fall | S2 | 1.0765 | * | 6 Mar low | |
| R2 | 1.0900 | * | break level | S3 | 1.0600 | ** | congestion | |
| R1 | 1.0875 | break level | S4 | 1.0533 | ** | 27 Jan (m) high |
Asterisk denotes strength of level
08:35 GMT - Cautious trade around 1.0800 is giving way to fresh gains, with prices currently trading around 1.0850. The rising daily Tension Indicator highlights room for a test of resistance within the 1.0875 - 1.0900 range. But flat overbought daily stochastics are expected to prompt fresh selling interest/consolidation within here. A break, however, will further improve sentiment, and extend January gains towards the 1.0970 Fibonacci retracement, where flat overbought weekly stochastics should promote more significant reactions. Meanwhile, support is at 1.0800. But a close below the 1.0765, if seen, would turn sentiment negative and give way to a pullback towards congestion support around 1.0600.