GBP/USD 1H Chart: Channel Down
|HKD/JPY 1H Chart: Channel Down
Comment: Following attacks at almost yearly highs of 15.24 in December 2016 and January, HKD/JPY put an end to the uptrend with a double top on the daily chart and went on to extend a slide. The pair was attempting to reverse from the bearish trend, but unsuccessfully, as channels were broken and a new—bearish one was recently established on the hourly chart. The pair has, however, just broken the upper boundary of the channel, which means that a rally – at least a short-term one – should come next. It appears that the pair has already undergone a retracement of the broken trend-line at 14.60 and the current weigh on the 200-hour SMA will be followed by a soar towards 14.63 and then 14.65, while ground lies at 14.60 and lower-14.59.
GBP/USD 1H Chart: Channel Down
Comment: A set of bearish patterns are leading GBP/USD to the downside on several different time-frames. The pair has been following an indistinctive channel down pattern on the daily chart, sketching some additional bearish formations on other time-frames. An overlap of a channel down and symmetrical triangle tells us unanimously that the downtrend should extend in the short, medium and long-term. The pair has just tested the upper boundary of both patterns at 1.2510 and will be making its way towards 1.2405, the bottom boundary of the triangle, and potentially then to 1.2372, the channel trend-line, in case the latter takes over. A strong support cluster at 1.2472/71 will steal some momentum from the motion.
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers.