Patterns: CHF/SGD, SGD/JPY
|CHF/SGD 1H Chart: Upside potential could prevail
The Swiss Franc has been depreciating against the Singapore Dollar since the middle of August when the currency pair reversed south from the upper boundary of the long-term ascending channel at 1.4332.
From a theoretical point of view, it is likely that the exchange rate could trade downwards in the nearest future, as it should reach the lower channel line located in the 1.3900/1.4000 range.
If the given channel holds, the general direction is expected to remain north. However, note that the currency pair has to surpass the monthly R1 at the 1.4341.
SGD/JPY 1H Chart: Short-term advance expected
The SGD/JPY currency pair has been trading sideways between the Fibonacci 23.60% retracement at 77.38 and the lower boundary of the falling wedge pattern located circa 75.50 since the beginning of August.
From a theoretical point of view, it is likely that some upside potential could prevail in the market in the short term, as the exchange rate has to target the upper pattern line located in the 77.50/78.50 range.
However, if the given Fibonacci retracement holds, it is likely that the Singapore Dollar could continue to consolidate against the Japanese Yen. Also, note that the exchange rate is also supported by the weekly S1 at the 75.56 mark.
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.