USDCAD, Bearish Pressure | 21st Dec 2021

On the H4 time frame, with price approaching the resistance of the stochastics indicator, we have a bearish bias that price will drop from 1st resistance at 1.29494 in line with the graphical swing high resistance to 1st support at 1.28445 in line with the horizontal swing low support and 61.8% Fibonacci retracement. Alternatively, price may break 1st resistance structure and head for 2nd resistance at 1.30390 in line with the 161.8% Fibonacci retracement and horizontal swing high resistance.

Trading Recommendation

Entry:1.29494

Reason for Entry:

Graphical swing high resistance

Take Profit: 1.28445

Reason for Take Profit:

Horizontal swing low support and 61.8% Fibonacci retracement

Stop Loss:1.30390

Reason for Stop Loss:

161.8% Fibonacci retracement and horizontal swing high resistance