On the H4, the price reflected off the second resistance at 22600.00, broke past the first resistance at 20756.87, and is moving in a bearish momentum hence we are bearish. Price has moved and tapped the first support at 19557.00 where the 78.6% retracement sits. If bearish momentum continues, it should bring the price to the second support of 18540.00 where the previous swing low sits. Alternatively, the price could pull back to test the second resistance at 20756.87 where the 50% retracement is.
Trading Recommendation
Entry: 19506.35
Reason for Entry: Break of 1st support
Take Profit: 18540.00
Reason for Take Profit: Previous swing low area, 100% projection area
Stop Loss: 20156.71
Reason for Stop Loss:
61.8% fibonacci retracement area
