Chart GBP/USD Update: Leaning lower
Cautious trade following the test of resistance at the 1.3590 weekly high of 24 July and congestion around 1.3600 is giving way to renewed selling interest
| Level | Comment | Level | Comment | |||||
|---|---|---|---|---|---|---|---|---|
| R4 | 1.3788 | ** | 1 Jul YTD high | S1 | 1.3500 | ** | congestion | |
| R3 | 1.3681 | 4 Jul high | S2 | 1.3400 | * | congestion | ||
| R2 | 1.3635 | ** | 76.4% ret of Jul-Aug fall | S3 | 1.3333 | * | 3 Sep low | |
| R1 | 1.3590/00 | ** | 24 Jul (w) high; cong | S4 | 1.3300 | * | congestion |
Asterisk denotes strength of level
08:10 BST - Cautious trade following the test of resistance at the 1.3590 weekly high of 24 July and congestion around 1.3600 is giving way to renewed selling interest, as intraday studies remain under pressure, with prices approaching congestion support at 1.3500. Overbought daily stochastics are unwinding and the positive daily Tension Indicator is showing early signs of turning down, highlighting room for a test beneath here. A break below 1.3500 will add weight to sentiment and open up further congestion around 1.3400. But mixed weekly charts are expected to limit any initial tests in renewed buying interest/consolidation. Meanwhile, resistance remains at 1.3590/00. This tight range should cap any immediate tests higher.