AUD/CHF: Possible end of the correction at levels of Fibo 50% and Diagonal resistance

23.11.2016 / 19:42

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AUD/CHF:

Date: 23 November, 2016

H4 Graph: Medium term short trend

The price of the pair made a correction after finding a lower bottom at 0.73900, which is lower than the previous low. Then when add lower highs and the bearish price channel, we can presume that the bearish price action is set to continue. Now after the correction up to Fib level of 50% from the previous move up and horizontal resistance zone between 0,7500-0.75350. Diagonal resistance just above the current price, where the rise has stopped. Also price is still trading below the 200 ЕМА.

Price Action: Pin Bar at strong horizontal and diagonal resistance - Possible signal for short

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Alternative scenario: If the price continue going up and passes above the diagonal resistance and above the high of the Pin Bar, this will most certainly cancel this bearish scenario.

Technical Indicator:

DEM (14) - In overbought zone and turned down for short

Price for Entry short around: 0.75100

SL: 0.75400

Jr. Trader - S. Fuchedzhiev

Varchev Traders

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AUD/CHF: Possible end of the correction at levels of Fibo 50% and Diagonal resistance

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