Type:
Bullish Bounce
Key Levels:
Resistance: 45645.26
Pivot: 40443.01
Support: 38638.55
Preferred Case:
Price is abiding to the descending trendline resistance, signifying an overall bearish momentum. However, we can expect price to make a short-term bullish bounce from the pivot in line with 100% Fibonacci projection towards 1st Resistance in line with 50% Fibonacci retracement. Our short-term bullish momentum is further supported by the Ichimoku cloud indicator where prices are holding below it.
Alternative Scenario:
Alternatively, price could push further down to 1st Support in line with 127.2% 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.