Type:
Bearish Reversal
Key Levels:
Resistance: 0.65047
Pivot: 0.64634
Support: 0.6412
Preferred Case:
Despite the recent breakout of the triangle to the upside, we have a short term bearish bias that price will drop and retest at out 1st support of 0.6412 in line with the 50% Fibonacci retracement and the ascending trendline from our pivot of 0.64634 in line with the 61.8% Fibonacci retracement and swing high resistance. Our bearish bias is further supported by how price is moving below our Ichimoku cloud.
Alternative Scenario:
Alternatively, price may break our pivot structure and continue to our 1st resistance at 0.65047 in line with the swing high resistance.
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Desmond Leong runs an award-winning research firm (The Technical Analyst finalists 2018/19/20 for Best FX and Equity Research) advising banks, brokers and hedge funds. Backed by a team of CFA, CMT, CFTe accredited traders, he takes on the market daily using a combination of technical and fundamental analysis.