ASX approaching its resistance, potential reversal!

6 เม.ย. 2018

ASX is approaching its resistance at 5804 (76.4^ Fibonacci retracement, 76.4% Fibonacci retracement, horizontal overlap resistance) where price could potentially react off it and fall to its 1st support at 5760 (38.2% Fibonacci retracement, 61.8% Fibonacci extension, horizontal overlap support). If it breaks past this level, it could trigger a bearish acceleration where price may drop to its 2nd support at 5688 (horizontal swing low support). We have also identified another resistance at 5842 (100% Fibonacci extension, 50% Fibonacci retracement, horizontal overlap resistance).
Stochastic (89, 5, 3) is approaching its resistance at 96% where a corresponding reaction could happen. We have also identified a bearish divergence with price which contributes to our bearish bias.