Published: 2024-05-02T07:30:39.000Z
Chart GBP/USD Update: Balanced above 1.2500
Senior Technical Strategist
7
Cautious trade beneath 1.2500 has given way to a bounce back above here
Level | Comment | Level | Comment | |||||
---|---|---|---|---|---|---|---|---|
R4 | 1.2665 | * | 61.8% ret of Mar-Apr fall | S1 | 1.2500 | * | congestion | |
R3 | 1.2650 | * | congestion | S2 | 1.2450 | congestion | ||
R2 | 1.2600 | * | congestion, 50% ret | S3 | 1.2400 | * | congestion | |
R1 | 1.2569 | 29 Apr high | S4 | 1.2300 | ** | congestion, 22 Apr YTD low |
Asterisk denotes strength of level
08:10 BST - Cautious trade beneath 1.2500 has given way to a bounce back above here, as intraday studies rise, with prices currently balanced around 1.2535. A test of the 1.2569 high of 29 April is possible, but a tick lower in overbought daily stochastics suggests any initial tests should give way to consolidation, before the rising daily Tension Indicator and improving weekly charts prompt a break. Subsequent focus will then turn to 1.2600, with potential for a further break towards the 1.2665 Fibonacci retracement. Meanwhile, any fresh tests below 1.2500 should be limited in buying interest above 1.2450.