Type:
Bearish Drop
Key Levels:
Resistance: 1.71354
Pivot: 1.70912
Support: 1.69632
Preferred Case:
Price is reacting in the descending channel, signifying an overall bearish momentum. We can expect price to drop from pivot level in line with 127.% Fibonacci projection towards 1st Support in line with 127.2% Fibonacci projection and horizontal support. Our bearish bias is further supported by the stochastic indicator where the %K line dropped from the resistance level.
Alternative Scenario:
Alternatively, price can push higher up to 1st Resistance in line with 161.8% Fibonacci projection and 127.2% Fibonacci extension.
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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.