Type:
Bearish Breakout
Key Levels:
Resistance:1755.57
Pivot:1711.19
Support: 1646.92
Preferred Case:
On the H4, with price moving below the ichimoku cloud and price recently breaking the ascending trend channel, we have a bearish bias that price will drop from the pivot at 1711.19 in line with the 38.2% fibonacci retracement and overlap resistance to the 1st support at 1646.92 in line with the 61.8% fibonacci projection and pullback support.
Alternative Scenario:
Alternatively, price may bounce off the pivot and rise to the 1st resistance at 1755.57 in line with the 100% fibonacci projection and pullback 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.