CHFJPY Potential For Dips | 1st Dec 2021

Prices are on a bearish momentum and abiding to our bearish trendline. We see potential for continuous dip from our 1st resistance at 123.336 in line with 78.6% and 38.6% Fibonacci retracement and also graphical overlap towards our 1st support at 122.385 in line with 61.8% Fibonacci extension and 38.2% Fibonacci retracement. Breaking the 1st support will find prices dipping further towards our 2nd support at 121.966 in line which is a graphical swing low. RSI is at a level where dips previously occurred. Alternatively, our stop loss will be placed at 2nd resistance at 123.707 in line with 100% Fibonacci extension.

Trading Recommendation

Entry: 123.336

Reason for Entry:

78.6% and 38.6% Fibonacci retracement and also graphical overlap

Take Profit: 122.385

Reason for Take Profit:

61.8% Fibonacci extension and 38.2% Fibonacci retracement

Stop Loss: 123.707

Reason for Stop Loss:

100% Fibonacci extension