AUDCAD: Watching for Fibonacci Support After Resistance Rejectio
The AUDCAD has bounced back down from a key weekly resistance level. This analysis explores the possibility of a pullback towards a Fibonacci retracement level before a potential upward correction.
Technical Analysis:
Resistance Rejection: The price encountered selling pressure at a critical resistance zone on the weekly chart. This suggests potential weakness in the upside momentum.
Fibonacci Retracement: Based on your chart (which I can't see directly), you identified the Fibonacci golden level (around 61.8%) as a potential support zone.
Trading Considerations:
Confirmation Needed: This is not a confirmed trade setup yet. We need to see how price reacts at the potential support level. A bullish reversal pattern or a daily candle closing above the support zone could indicate a potential uptrend resumption.
Risk Management: If a long trade becomes attractive later, prioritize proper risk management. Define entry, stop-loss, and take-profit levels based on your strategy and risk tolerance.
Remember: Do your own research before entering any trade. This analysis provides insights, not guarantees.
Additional Notes:
I can't access the chart you mentioned, but I can still craft a general analysis based on your description.
If you can describe the specific Fibonacci retracement level you identified (as a percentage or price value), I can incorporate that detail into the analysis.
By combining your insights with technical analysis and risk management, you can make informed trading decisions in the AUDCAD market.
Disclaimer
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