FX.co ★ USDCAD, Bullish Pressure | 26th Jan 2022

On the H4, with price moving above the ichimoku cloud, we foresee potentially a bullish bounce that price will bounce from our 1st support at 1.26091 which is in line with horizontal overlap resistance and 38.2% Fibonacci retracement to 1st resistance at 1.27274 in line with the 78.6% Fibonacci retracement, which is a horizontal swing high resistance. Alternatively, price may break 1st support structure and head for 2nd support at 1.24604, in line with 100% Fibonacci projection and horizontal swing low support.

Trading Recommendation

Entry:1.26091

Reason for Entry:

Horizontal overlap resistance and 38.2% Fibonacci retracement

Take Profit: 1.27274

Reason for Take Profit:

Horizontal swing high resistance and 78.6% Fibonacci retracement

Stop Loss: 1.24604

Reason for Stop Loss:

Horizontal swing low support and 100% Fibonacci projection