CADCHF Approaching Resistance, Prepare For A Reversal
Sell below 0.7551. Stop loss 0.7597. Take profit at 0.7476.
Reason for the trading strategy (technically):
CADCHF is approaching its resistance at 1.0954 (38.2%, 50% & 61.8% Fibonacci retracement, horizontal overlap resistance) where we expect price to react, causing it to reverse and fall to its support at 0.7476 (61.8% & 50% Fibonacci retracement, horizontal swing low support).
Stochastic (55, 5, 3) is approaching its resistance at 95% where a corresponding reversal could occur. We have also identified a bearish divergence with price.
Reason for the trading strategy (technically):
CADCHF is approaching its resistance at 1.0954 (38.2%, 50% & 61.8% Fibonacci retracement, horizontal overlap resistance) where we expect price to react, causing it to reverse and fall to its support at 0.7476 (61.8% & 50% Fibonacci retracement, horizontal swing low support).
Stochastic (55, 5, 3) is approaching its resistance at 95% where a corresponding reversal could occur. We have also identified a bearish divergence with price.