On the H4, with price moving below the ichimoku cloud and in a descending trendline, we have a bearish bias that price will continue to drop from the 1st resistance at 1.04882 at the overlap resistance in line with the 50% fibonacci retracement to the 1st support at 1.03483 at the swing low in line with the two 61.8% fiboinacci projections. Alternatively, price may reverse off the 1st resistance and rise to the 2nd resistance at 1.05944 the multiple swing high in line with the 61.8% fibonacci retracement.
Trading Recommendation
Entry: 1.04882
Reason for Entry:
Overlap resistance in line with the 50% fibonacci retracementTake Profit: 1.03483
Reason for Take Profit:Swing low in line with the two 61.8% fibonacci projectionsStop Loss: 1.05944
Reason for Stop Loss:
Multiple swing high in line with the 61.8% fibonacci retracement.
