First Resources is currently being supported strongly at 1.65 level, we have seen this level held in May 2013 and also for the past 1 month. A slight descending triangle formation pattern can be seen on a wider timeframe which shows that downtrend is still in placed currently. If the 1.65 support down not hold, it can head further down to test 1.50. Possible to put a CFD SELL Stop order at 1.635 to catch the breakdown of this critical support, with a take profit level from 1.50 to 1.55 level. Immediate resistance level stands at 1.74 which it has stayed below for about 2 weeks already. More upside only if it manages to cross and stay above the resistance. Note that it has also been trading below the 20 DAY MA (Green line) for more than a month and has failed to creep above it, signaling that short term downtrend could still be in place. Monitor and let’s see if the breakdown does happen eventually.
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