Chart GBP/USD Update: Gains to remain limited
The anticipated test of resistance at 1.3250 is giving way to consolidation
| Level | Comment | Level | Comment | |||||
|---|---|---|---|---|---|---|---|---|
| R4 | 1.3400 | ** | congestion | S1 | 1.3200 | ** | congestion | |
| R3 | 1.3350 | break level | S2 | 1.3140 | 24 Jun YTD low | |||
| R2 | 1.3300 | ** | congestion | S3 | 1.3100 | * | congestion | |
| R1 | 1.3250 | intraday break level | S4 | 1.3000/10 | ** | congestion; 4-5 Nov (m) low |
Asterisk denotes strength of level
08:10 BST - The anticipated test of resistance at 1.3250 is giving way to consolidation, as intraday studies turn down, with prices currently balanced around 1.3240. Both daily stochastics and the daily Tension Indicator continue to rise, highlighting room for continuation of late-June gains beyond 1.3250 towards congestion around 1.3300. But bearish weekly charts should prompt renewed selling interest towards here and limit any tests in consolidation. Following cautious/corrective trade, fresh losses are looked for. Support remains at congestion around 1.3200. But a close below the 1.3140 current year low of 24 June will add weight to sentiment and put initial focus on congestion around 1.3100.