Chart USD/CHF Update: Consolidating tests lower - daily studies under pressure
Anticipated losses have tested below 0.8100
| Level | Comment | Level | Comment | |||||
|---|---|---|---|---|---|---|---|---|
| R4 | 0.8300 | ** | congestion | S1 | 0.8100 | congestion | ||
| R3 | 0.8250 | congestion | S2 | 0.8038 | ** | 21 Apr YTD low | ||
| R2 | 0.8200 | * | congestion | S3 | 0.8000 | ** | congestion | |
| R1 | 0.8155 | * | 2 Jun (w) low | S4 | 0.7850 | ** | 76.4% ret of 2011-2016 rally |
Asterisk denotes strength of level
09:25 BST - Anticipated losses have tested below 0.8100, with prices meeting buying interest above the 0.8038 current year low of 21 April as oversold intraday studies unwind. The break back above 0.8100 has helped to stabilise price action and put focus on resistance at the 0.8155 weekly low of 2 June. Negative daily readings and mixed weekly charts, however, are expected to limit any break above here in renewed selling interest beneath congestion resistance at 0.8200. Following cautious trade, fresh losses are looked for. But a close below 0.8038 is needed to turn sentiment negative and confirm continuation of December 2016 losses towards the 0.7850 Fibonacci retracement.