We can see that price is abiding to the descending trendline resistance, signifying a bearish momentum. We can expect price to drop from 1st Resistance in line with 127.2% Fibonacci projection towards the 1st Support in line with the previous swing low and 61.8% Fibonacci projection. Our bearish bias is further supported by the stochastic indicator where the %K line is approaching the resistance level and price holding below ichimoku cloud.
Trading Recommendation
Entry: 0.73654
Reason for Entry:
127.2% Fibonacci projection
Take Profit: 0.72796
Reason for Take Profit:
previous swing low and 61.8% Fibonacci projection
Stop Loss: 0.73926
Reason for Stop Loss:
161.8% Fibonacci projection and 38.2% Fibonacci retracement
