On the H4 chart, as the price is breaking the descending trendline, moving within the ascending channel and the price is above ichimoku cloud, we have a bullish bias that the price may rise to the 1st resistance at 0.58730, which is in line with the previous swing high and 38.2% fibonacci retracement. If the 1st resistance is broken, the 2nd resistance is at 0.59963, where the 50% fibonacci retracement is. Alternatively, the price may drop to the 1st support at 0.57871, where the previous swing lows and 50% fibonacci retracement are.
Trading Recommendation
Entry: 0.58730
Reason for Entry:Previous swing high and 38.2% fibonacci retracement
Take Profit: 0.59963
Reason for Take Profit:
overlap resistance and 50% fibonacci retracement
Stop Loss: 0.57871
Reason for Stop Loss:
Previous swing low and 50% fibonacci retracement
The material has been provided by InstaForex Company – www.instaforex.com
