Title
BCOUSD H4 | Potential reversal off Fibo confluence?
Type
Bearish Reversal
Preference:
Price is rising towards the pivot point of 84.288 which is an overlap resistance that aligns with a confluence of Fibonacci levels i.e. the 78.6% retracement and the 61.8% Projection levels and could potentially reverse from here; we could see momentum carry price down to its 1st support at 81.752 which is a pullback support that aligns close to the 23.6% Fibonacci retracement level.
Alternative scenario:
If price breaks above the pivot point, it could hit the 1st resistance at 86.166 which is an overlap resistance that aligns with to the 78.6% Fibonacci projection level.
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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.