USDCAD, Bearish Pressure | 14th Jan 2022

On the H4, with price moving below the Ichimoku cloud, we have a bearish bias that price will from from our 1st resistance at 1.25479 which is in line with horizontal overlap resistance and 38.2% Fibonacci retracement to 1st support at 1.24604, which is in line with horizontal overlap support and 100% Fibonacci projection level. Alternatively, price may break 1st resistance structure and head for 2nd resistance at 1.26185, which coincides with horizontal overlap resistance and 61.8% Fibonacci retracement.

Trading Recommendation

Entry:1.25479

Reason for Entry:

Horizontal overlap resistance and 38.2% Fibonacci retracement

Take Profit: 1.24604

Reason for Take Profit:

Horizontal overlap support and 100% Fibonacci projection level

Stop Loss: 1.26185

Reason for Stop Loss:

Horizontal overlap resistance and 61.8% Fibonacci retracement