Published: 2024-04-11T08:12:50.000Z
Chart GBP/USD Update: Reached strong support at 1.2500/18 - studies continue to point lower
Senior Technical Strategist
-
Sharp losses have reached strong support at 1.2500/18
Level | Comment | Level | Comment | |||||
---|---|---|---|---|---|---|---|---|
R4 | 1.2750 | minor congestion | S1 | 1.2500/18 | ** | congestion; 5 Feb YTD low | ||
R3 | 1.2700/10 | * | break level; 9 Apr high | S2 | 1.2470 | ** | 50% ret of Oct-Mar rally | |
R2 | 1.2650 | * | congestion | S3 | 1.2400 | * | congestion | |
R1 | 1.2600 | * | congestion | S4 | 1.2365 | ** | 61.8% ret of Oct-Mar rally |
Asterisk denotes strength of level
08:45 BST - Sharp losses have reached strong support at 1.2500/18, where unwinding oversold intraday studies are prompting short-term reactions. Focus is turning back to congestion around 1.2600, but a tick lower in daily readings and deteriorating weekly charts are expected to prompt fresh selling interest towards here. In the coming sessions, further losses are looked for. However, a close below 1.2500/18 is needed to turn sentiment outright negative and extend March losses initially to the 1.2470 Fibonacci retracement. Still lower is 1.2400. Meanwhile, a close back above 1.2600 will turn price action neutral and prompt fresh range trade beneath 1.2650.