By Admiral Markets
Even though income data was lower than expected in the US, the high NFP number suggests wage pressure may be imminent on company earnings in the USA – one of the reasons why the DJI30 was sold yesterday. The price might reject from the POC zone 25054-25240 as we see a strong confluence of technical levels and W 1-2-3 bullish pattern. Point 2 of W pattern sits precisely at M Cm (monthly camarilla level) and should keep the pair supported. However the index needs to make a 4h close above W H3 – 25611 to proceed further up towards 25890-959. Initially, the price might reject from the level. Above 25960, the target is 26388.
A drop below W L4 -24775 and the price might go further down towards the trend line and 24277
W H3 -Weekly Camarilla Pivot (Weekly Interim Resistance)
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W L3 – Weekly Camarilla Pivot (Weekly Interim Support)
W H3 – Weekly Camarilla Pivot (Weekly Interim Resistance)
W H4 – Weekly Camarilla Pivot (Strong Weekly Resistance)
M H4 – Monthly Camarilla Pivot (Very Strong Monthly Resistance)
M L3 – Monthly Camarilla Pivot (Monthly Support)
M L4 – Monthly H4 Camarilla (Very Strong Monthly Support)
POC – Point Of Confluence (The zone where we expect price to react aka entry zone)
Article by Admiral Markets
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