Title
CADJPY H1 I Potential Bounce off an Overlap Support
Type
Bullish Bounce
Preference:
The price is trading close to the pivot level at 105.26, an overlap support that aligns with the 50% Fibonacci retracement. A bullish bounce off this level could lead the price toward the 1st resistance at 105.88, an overlap resistance that aligns with the 61.8% Fibonacci retracement.
Alternative Scenario:
If the price breaks below the pivot, it could fall toward the 1st support at 104.94, a swing low support that aligns closely with the 61.8% Fibonacci retracement.
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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.