On the H1, price recently broke the ascending trend channel and has bounced off our 1st support at 0.0830. With price moving below the Ichimoku indicator, we have a bearish bias that price will break our 1st support at 0.0830 where the horizontal pullback support is, and drop to the 2nd support at 0.0816 at the swing low. MACD shows a red bearish pressure area and RSI shows a descending trendline, which both support our bearish bias. Alternatively, price may break 1st resistance at 0.0855 in line with the 61.8% Fibonacci projection and head for 2nd resistance at 0.0873 in line with 78.6% Fibonacci retracement and 78.6% Fibonacci retracement at the swing high.
Trading Recommendation
Entry: 0855
Reason for Entry:
Horizontal support in line with 61.8% Fibonacci projection.
Take Profit: 0816
Reason for Take Profit: Horizontal swing low
Stop Loss: 0873
Reason for Stop Loss:
Horizontal swing high resistance in line with 78.6% Fibonacci retracement and 78.6% Fibonacci retracement
