Chart GBP/USD Update: Consolidating gains - background studies rising
Consolidation above congestion support at 1.3300 has given way to a bounce
| Level | Comment | Level | Comment | |||||
|---|---|---|---|---|---|---|---|---|
| R4 | 1.3500 | * | congestion | S1 | 1.3300 | * | congestion | |
| R3 | 1.3471 | * | 17 Oct (w) high | S2 | 1.3250 | * | congestion | |
| R2 | 1.3450 | ** | 61.8% ret of Sep-Nov fall | S3 | 1.3200 | * | congestion | |
| R1 | 1.3400 | ** | congestion | S4 | 1.3150 | * | congestion |
Asterisk denotes strength of level
08:10 GMT - Consolidation above congestion support at 1.3300 has given way to a bounce, with prices meeting selling interest just beneath congestion resistance at 1.3400. Daily readings are edging higher, suggesting room for a test above here. But already overbought daily stochastics are expected to limit initial scope in consolidation beneath the 1.3450 Fibonacci retracement, before rising weekly charts prompt further gains. Meanwhile, support remains down to congestion around 1.3300. A break, if seen, will open up further congestion around 1.3250. But rising weekly charts should prompt renewed buying interest/consolidation towards here.