Type:
Bullish Breakout
Key Levels:
Resistance: 1723.41
Pivot: 1649.12
Support: 1559.9
Preferred Case:
On the H4, with price moving within an ascending channel and above the ichimoku indicator, we have a bullish bias that price will rise to pivot at 1649.12 where the pullback resistance is. Once there is upside confirmation that price has broken pivot structure, we would expect bullish momentum to carry price to 1st resistance at 1723.41 where the swing high resistance and 78.6% fibonacci projection are.
Alternative Scenario:
Alternatively, price could drop to the 1st support at 1559.9 where the overlap support is.
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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.