Type:
Bearish Continuation
Key Levels:
Resistance: 104.235
Pivot: 102.510
Support: 101.315
Preferred Case:
With the donchian channel and MACD showing further bullish momentum , we have a bullish bias that price will rise from our pivot at 101.315 in line with the horizontal pullback support and 23.6% Fibonacci retracement to our 1st resistance at 104.235 in line with the horizontal overlap resistance and 78.6% Fibonacci retracement .
Alternative Scenario:
Alternatively, price may break pivot structure and head for 1st support at 101.315 in line with the horizontal swing low support.
Fundamentals:
The latest Fed-speak reiterated the high likelihood of two 50bps hikes in the next two central bank meetings. The path after will be data-dependent.
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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.