Chart EUR/USD Update: Choppy in range - background studies under pressure
Minor gains have been pushed back from beneath resistance at 1.0695/00
Levels | Imp | Comment | Levels | Imp | Comment | |||
---|---|---|---|---|---|---|---|---|
R4 | 1.0850 | congestion | S1 | 1.0600/10 | ** | congestion; 76.4% ret of Oct-Dec rally | ||
R3 | 1.0800 | * | congestion | S2 | 1.0550 | * | congestion | |
R2 | 1.0750 | minor congestion | S3 | 1.0515~ | * | 1 Nov (m) low | ||
R1 | 1.0695/00 | ** | 14 Feb (m) low; congestion | S4 | 1.0500 | ** | congestion |
Asterisk denotes strength of level
08:25 BST - Minor gains have been pushed back from beneath resistance at 1.0695/00, with steady losses posting a retest of support at 1.0600/10, before settling into fresh range trade. Daily stochastics are rising, unwinding oversold areas, suggesting potential for a fresh test higher. However, the bearish daily Tension Indicator and mixed/negative weekly charts are expected to limit scope in renewed selling interest towards the 1.0695 monthly low of 14 February and congestion around 1.0600. Following cautious trade, price action is expected to turn lower once again. However, a close below congestion at 1.0600 and the 1.0610 Fibonacci retracement is needed to turn price action negative and extend late-December losses towards 1.0550.