Type:
Bullish Bounce
Key Levels:
Resistance: 23.504
Pivot: 21.943
Support: 20.413
Preferred Case:
On the H4, with price moving above the ichimoku cloud, it supports our bullish bias that price will rise form the pivot at 21.943 in line with the overlap support and 23.6% fibonacci retracement to the 1st resistance at 23.504 in with the 50% fibonacci retracement. Additionally, the presence of bullish pressure at current price on the MACD indicator further supports our bullish bias.
Alternative Scenario:
Alternatively, price may break the support structure at the pivot and drop to the 1st support at 20.413 at the swing low.
Disclaimer: The material provided is for information purposes only and should not be considered as investment advice. The views, information, or opinions expressed in the text belong solely to the author, and not to the author’s employer, organization, committee or other group or individual or company.
Past performance is not indicative of future results.
High Risk Warning: CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 75% and 75% of retail investor accounts lose money when trading CFDs with Tickmill UK Ltd and Tickmill Europe Ltd respectively. You should consider whether you understand how CFDs work and whether you can afford to take the high risk of losing your money.
Futures and Options: Trading futures and options on margin carries a high degree of risk and may result in losses exceeding your initial investment. These products are not suitable for all investors. Ensure you fully understand the risks and take appropriate care to manage your risk.
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.