Type:
Bullish Bounce
Key Levels:
Resistance: 40857
Pivot: 39079
Support: 37505
Preferred Case:
On the H4, with the recent break of the descending channel and Ichimoku cloud to the bullish side, we have a bullish bias that price will rise to our 1st resistance at 40857 where the pullback resistance and 61.8% Fibonacci retracement is from our pivot at 39079 in line with the horizontal pullback support and 38.2% Fibonacci retracement.
Alternative Scenario:
Alternatively, price may break structure and head for 1st support at 37505 where the horizontal swing low support is.
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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.