Type:
Bullish Bounce
Key Levels:
Resistance: 1.26953
Pivot: 1.25884
Support: 1.25584
Preferred Case:
On the H4, with price expected to bounce off the stochastics indicator and the descending channel support, we have a bias that price will rise to our 1st resistance at 1.26953 in line with the 38.2% Fibonacci retracement from our pivot at 1.25884 in line with the horizontal swing low support and 161.8% Fibonacci extension.
Alternative Scenario:
Alternatively, price may break pivot structure structure and head for 1st support at 1.25584 in line with the horizontal swing low support
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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.