FX.co ★ AUDUSD, Bullish Pressure | 6th Jan 2022

On the H4, with price approaching the support of the Ichimoku cloud, we have a bullish bias that price will rise to our 1st resistance at 0.72765 which is in line with horizontal swing high resistance, 50% Fibonacci retracement and 127.2% Fibonacci extension from 1st support at 0.71844, which is in line with horizontal overlap support. Alternatively, price may break 1st support structure and head for 2nd support at 0.71162, which coincides with horizontal overlap support and 78.6% Fibonacci retracement level .

Trading Recommendation

Entry: 0.71844

Reason for Entry:

Horizontal overlap support

Take Profit: 0.72765

Reason for Take Profit:

Horizontal swing high resistance, 50% Fibonacci retracement

Stop Loss: 0.71162

Reason for Stop Loss:

Horizontal overlap support and 78.6% Fibonacci retracement level