FX.co ★ AUDUSD Potential for Bullish Rise | 6th October 2022

On the H4, with the price testing the resistance at 0.65333, where the 23.6% fibonacci retracement sits, and crossing ichimoku cloud, if the price can break the current resistance successfully, we can expect the price rise to the 1st resistance at 0.66373, which is in line with the 50% and 38.2% fibonacci retracement. Alternatively, the price may drop back to the 1st support at 0.645225, which is in line with the overlap support, if the 1st support is broken, the 2nd support could be at 0.63902, where the swing low is.

Trading Recommendation

Entry: 0.65333

Reason for Entry: 23.6% fibonacci retracement, and breakout of current resistance

Take Profit: 0.66373

Reason for Take Profit:

50% and 38.2% fibonacci retracement

Stop Loss: 0.65422

Reason for Stop Loss:

Overlap support