CADCHF is Approaching Its Resistance, Prepare For A Drop

Published on: 2018-04-16 02:33 GMT

CADCHF is approaching its resistance, we expect to see a drop.

Sell below 0.7652. Stop loss at 0.7685. Take profit at 0.7558.

Reason for the trading strategy (technically):
CADCHF is approaching resistance at 0.7652 (61.8% Fibonacci retracement, horizontal overlap resistance) where we expect to see a reaction, causing price to fall to its support at 0.7558 (61.8% Fibonacci extension, 23.6% Fibonacci retracement).

Stochastic (89, 5, 3) is also reaching its resistance at 98% where we expect to see a corresponding reaction. A bearish divergence with price has also been identified which contributes to our bearish divergence.