Chart EUR/PLN Update: Under pressure
Cautious trade above 4.2500 has given way to the anticipated break lower
| Levels | Imp | Comment | Levels | Imp | Comment | |||
| R4 | 4.3000 | * | break level | S1 | 4.2350 | * | congestion | |
| R3 | 4.2800 | ** | congestion | S2 | 4.2200/55 | ** | 50% ret; 9 Apr (w) low | |
| R2 | 4.2650 | * | break level | S3 | 4.2000 | ** | congestion | |
| R1 | 4.2500 | * | congestion | S4 | 4.1975 | ** | 61.8% ret of Feb-Apr rally |
Asterisk denotes strength of level
12:30 BST - Cautious trade above 4.2500 has given way to the anticipated break lower, with prices currently trading around 4.2420. Intraday studies are under pressure and daily readings are bearish, highlighting room for a later break below congestion support at 4.2350. Broader weekly charts are also under pressure. But a further close below critical support at the 4.2200 Fibonacci retracement and the 4.2255 weekly low of 9 April is needed to turn sentiment negative and complete a multi-week distribution pattern, as April losses then focus on 4.2000. Meanwhile, a break back above congestion resistance at 4.2500 will help to stabilise price action and prompt consolidation beneath 4.2650.