USDCAD Bearish Pressure | 13th Dec 2021

On the H4, with price moving below the ichimoku cloud, we have a bearish bias that price will drop to 1st support at 1.26227 in line with the graphical overlap support and 50% Fibonacci retracement from 1st resistance at 1.27586 in line with the graphical overlap resistance and 61.8% Fibonacci retracement. Alternatively, we may see price break 1st resistance and head for 2nd resistance at 1.28485 in line with the horizontal swing high resistance.

Trading Recommendation

Entry: 1.27586

Reason for Entry:

Graphical overlap resistance and 61.8% Fibonacci retracement

Take Profit: 1.26227

Reason for Take Profit:

Graphical overlap support and 50% Fibonacci retracement

Stop Loss: 1.28485

Reason for Stop Loss:

Horizontal swing high resistance