Chart EUR/PLN Update: Choppy in range - background studies under pressure
The sharp PLN-driven bounce has faded beneath congestion resistance at 4.2500
| Levels | Imp | Comment | Levels | Imp | Comment | |||
| R4 | 4.2700 | * | break level | S1 | 4.2200 | ** | 50% ret of Feb-Apr rally | |
| R3 | 4.2600 | * | break level | S2 | 4.1975/00 | ** | 61.8% ret; cong | |
| R2 | 4.2500 | * | congestion | S3 | 4.1800 | * | congestion | |
| R1 | 4.2350 | * | congestion | S4 | 4.1700 | ** | 76.4% ret of Feb-Apr rally |
Asterisk denotes strength of level
12:40 GMT - The sharp PLN-driven bounce has faded beneath congestion resistance at 4.2500, with prices falling back once again into consolidation beneath 4.2350. Daily readings are mixed, suggesting a near-term cautious tone and room for consolidation. But broader weekly charts are under pressure, pointing to room for later losses. A break below critical support at 4.2200 will turn sentiment negative and complete a multi-month distribution top beneath the 4.3100 current year high of 16 April, as focus then turns to 4.1975/00. Meanwhile, any fresh tests above congestion resistance at 4.2350 should meet renewed selling interest beneath 4.2500.