Patterns: EUR/GBP, USD/CHF
|EUR/GBP 4H Chart: Two scenarios likely
The common European currency has been trading in a one-month descending channel pattern against the British Pound. The currency pair tested the 0.9000 mark during last week's trading session.
Currently, the exchange rate is trading near the upper line of the one-month descending channel and could be set for a breakout.
If the breakout occurs, a surge towards the 0.9200 level could be expected during the following trading sessions.
However, if the channel pattern holds, bears would continue to dominate the currency exchange rate within this week's trading sessions.
USD/CHF 4H Chart: Bears could prevail
The US Dollar has been edging lower in a descending channel pattern against the Swiss Franc since September 25. The currency pair breached the 0.9100 level during the Asian session on Tuesday.
All things being equal, the USD/CHF exchange rate is likely to continue to trend in the descending channel pattern during the following trading sessions. Bearish traders could target the 0.9000 level this week.
However, a support line at the 0.9050 area could provide a barrier for bears during the following trading sessions.
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.