Title
DE30EUR H4 | Potential Bearish reaction off pivot?
Type
Bearish Reversal
Preference:
Price is currently in a short-term bullish momentum, and could reach our pivot point at 15993.45, which is at the 50% fibo retracement and 100% fibo projection, before becoming bearish. There is fibo confluence at the pivot point, hence price could react off that area. If price becomes bearish after reacting to the pivot point, price could fall to the 1st support at 15563.69, which is a swing low support and at the 78.6% fibo retracement.
Alternative scenario:
If price breaks above the pivot point, then price could rise to the 1st resistance at 16226.97, which is an overlap resistance level.
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Desmond Leong runs an award-winning research firm (The Technical Analyst finalists 2018/19/20 for Best FX and Equity Research) advising banks, brokers and hedge funds. Backed by a team of CFA, CMT, CFTe accredited traders, he takes on the market daily using a combination of technical and fundamental analysis.