On the H4, prices have broken the descending channel and are moving in a bullish momentum- we are bullish biased. Prices seem to be moving toward the first resistance at 1.1760 where the 38.2% retracement and 61.8% projection sits. If bullish momentum continues, it should bring prices to the second resistance at 1.1872 levels where the 50% retracement sits. Alternatively, if it fails to break the first resistance, it might look to test the first support at 1.1605 where the 23.6% retracement and overlapping support sits then the second support at 1.1442 where the 161.8% extension sits
Trading Recommendation
Entry: 1.1605
Reason for Entry:
23.6% retracement, pull back buy entry
Take Profit: 1.1760
Reason for Take Profit:
38.2% retracement, 61.8% projection
Stop Loss: 1.1442
Reason for Stop Loss:
161.8% extension, previous swing low
