Prices are on a bearish momentum and have formed a double top chart pattern. We see potential for continuous dip from our 1st resistance at 1.04573 in line with 61.8% Fibonacci extension and also graphical overlap towards our 1st support at 1.04212 in line with 100% Fibonacci extension and 50% Fibonacci retracement. Breaking the 1st support will find prices dipping further towards our 2nd support at 1.03835 in line with our bearish trendline and area of Fibonacci confluences. Divergence is spotted in RSI. Alternatively, our stop loss will be placed at 2nd resistance at 1.04931 in line with 127.2% Fibonacci extension.
Trading Recommendation
Entry: 1.04573
Reason for Entry:
61.8% Fibonacci extension and also graphical overlap
Take Profit: 1.04212
Reason for Take Profit:
100% Fibonacci extension and 50% Fibonacci retracement
Stop Loss: 1.04931
Reason for Stop Loss:
127.2% Fibonacci extension
