Chart EUR/USD Update: Choppy in range - room for a test above 1.0750
The test below congestion support at 1.0700 has bounced from above 1.0650
Levels | Imp | Comment | Levels | Imp | Comment | |||
---|---|---|---|---|---|---|---|---|
R4 | 1.0885 | * | 9 Apr (w) high | S1 | 1.0700 | * | congestion | |
R3 | 1.0850 | congestion | S2 | 1.0650 | congestion | |||
R2 | 1.0800 | * | congestion | S3 | 1.0600/10 | ** | congestion; 76.4% ret of Oct-Dec rally | |
R1 | 1.0750 | minor congestion | S4 | 1.0550 | * | congestion |
Asterisk denotes strength of level
08:20 BST - The test below congestion support at 1.0700 has bounced from above 1.0650, as oversold intraday studies unwind, with prices once again balanced in cautious trade above 1.0700. Daily stochastics and the daily Tension Indicator continue to rise, highlighting room for a fresh test higher, with focus expected to turn back to resistance at 1.0750. A break above here will open up congestion around 1.0800, but mixed weekly charts are expected to limit any initial tests in consolidation. Meanwhile, support remains at congestion around 1.0700. A close beneath here, if seen, will turn price action neutral once again and prompt fresh consolidation above 1.0650. A further 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.