Consolidation around congestion support at 0.7100 has given way to a bounce
LevelsImpComment LevelsImpCommentR40.7500**historic congestion S10.7100 congestionR30.7400**historic congestion S20.7050*congestionR20.7280~**June 2022 high S30.7000*congestionR10.7200**break level, 61.8% ret S40.6900*congestion
Asterisk denotes strength of level
09:05 BST – Consolidation around congestion support at 0.7100 has given way to a bounce, with prices currently trading around 0.7155. The flat daily Tension Indicator is edging higher, suggesting room for further gains. But deteriorating daily stochastics and bearish weekly charts should limit scope in renewed selling interest/consolidation beneath strong resistance at 0.7200. Following cautious trade, fresh losses are looked for. A later close below 0.7100 will add weight to sentiment and extend early-May losses initially towards further congestion around 0.7050.