Chart EUR/GBP Update: Limited tests higher
The anticipated test lower has not been seen, as cautious trade around 0.8720 gives way to a push higher
| Level | Comment | Level | Comment | |||||
|---|---|---|---|---|---|---|---|---|
| R4 | 0.8840 | * | 20 Nov (w) high | S1 | 0.8720 | * | congestion | |
| R3 | 0.8800 | * | break level | S2 | 0.8695/00 | * | GBP/EUR 1.1500; cong | |
| R2 | 0.8772 | * | GBP/EUR 1.1400 | S3 | 0.8670 | ** | October range lows | |
| R1 | 0.8750 | * | congestion | S4 | 0.8620 | * | GBP/EUR 1.1600 |
Asterisk denotes strength of level
09:35 GMT - The anticipated test lower has not been seen, as cautious trade around 0.8720 gives way to a push higher. Oversold daily stochastics are edging higher and the bearish daily Tension Indicator is flattening, suggesting room for a test of congestion resistance at 0.8750. But negative weekly charts should limit any extension beyond here in renewed selling interest beneath 0.8772, (GBP/EUR 1.1400). Following cautious/corrective trade, fresh losses are looked for. A later break below 0.8720 will open up support at 0.8695, (GBP/EUR 1.1500), and congestion around 0.8700. However, a close below stronger support at the 0.8670 range lows from October is needed to add weight to sentiment and extend November losses towards 0.8600/20.