Type:
Bearish Reversal
Key Levels:
Resistance: 41443.73
Pivot: 40593.22
Support: 38960.24
Preferred Case:
Price is abiding to the descending channel, signifying an overall bearish momentum. We can expect price to retrace a little to the pivot level in line with 23.6% Fibonacci retracement towards 1st Support in line with 127.2% Fibonacci projection. Our bearish bias is further supported by the Ichimoku cloud acting as a resistance.
Alternative Scenario:
Alternatively, price could push higher to 1st resistance in line with 50% Fibonacci retracement and 78.6% Fibonacci projection.
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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.