On the H4, with prices moving below the Ichimoku cloud, we see a potential drop to our 1st support at 1.25644 in line with horizontal overlap support and 161.8% Fibonacci projection from our 1st resistance at 1.26664 in line with horizontal overlap resistance. Alternatively, price may break 1st resistance structure and head for 2nd resistance at 1.27779, in line with the horizontal swing high resistance.
Trading Recommendation
Entry: 1.26664
Reason for Entry:
Horizontal overlap resistance
Take Profit: 1.25644
Reason for Take Profit:
Horizontal overlap support and 161.8% Fibonacci projection
Stop Loss: 1.27779
Reason for Stop Loss:
Horizontal swing high resistance
