Type:
Bearish Reversal
Key Levels:
Resistance: 1876.2
Pivot: 1858.5
Support: 1804.5
Preferred Case:
On the H4, with prices moving below the ichimoku indicator, price breakout from ascending channel and MACD moving in a bearish momentum, we have a bearish bias that price will drop from our pivot at 1858.5 where the horizontal swing high resistance is to our 1st support at 1804.5 where the horizontal swing low support and 78.6% fibonacci retracement are.
Alternative Scenario:
Alternatively, price may break pivot structure and head for 1st resistance at 1876.2 in line with swing high resistance, 61.8% fibonacci retracement and 38.2% fibonacci retracement.
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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.