Patterns: CHF/SGD, SGD/JPY

Dukascopy Bank Team Dukascopy Bank SA

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.

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Dukascopy Bank Team

Dukascopy Bank SA

Dukascopy Bank stands as an innovative Swiss online banking institution, with its headquarters situated in Geneva, Switzerland.

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