Dukascopy Bank Team
Dukascopy Bank SA
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.
This overview can be used only for informational purposes. Dukascopy SA is not responsible for any losses arising from any investment based on any recommendation, forecast or other information herein contained.
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