Chart EUR/USD Update: Cautious trade - background studies rising
Little change, as the pullback from resistance at 1.0500 extends consolidation above congestion support at 1.0450
| Levels | Imp | Comment | Levels | Imp | Comment | |||
|---|---|---|---|---|---|---|---|---|
| R4 | 1.0600 | * | break level | S1 | 1.0450 | congestion | ||
| 14 | 1.0570 | ** | 38.2% ret of Sep-Jan fall | S2 | 1.0400 | ** | congestion | |
| R2 | 1.0533 | ** | 27 Jan YTD high | S3 | 1.0350 | * | break level | |
| R1 | 1.0500 | * | break level | S4 | 1.0300 | congestion |
Asterisk denotes strength of level
08:30 GMT - Little change, as the pullback from resistance at 1.0500 extends consolidation above congestion support at 1.0450. Intraday studies are leaning lower and overbought daily stochastics are flattening, suggesting potential for a test beneath here. But the rising daily Tension Indicator and positive weekly charts are expected to limit scope in renewed buying interest towards further congestion support around 1.0400. Following corrective trade, higher levels are looked for. However, a close above the 1.0533 current year high of 27 January is needed to turn sentiment positive and confirm continuation of January gains, initially to the 1.0570 Fibonacci retracement.