USD/JPY 1H Chart: Broadening Falling Wedge

USD/ZAR 1H Chart: Double Bottom

Comment: A gradual retreat from more than a five-year high of 11.3952 impelled USD/ZAR to embark upon formation of a double bottom pattern.

The pattern was broken through several hours earlier when the pair breached the neck-line at 10.8762 that represented a formidable resistance, especially given that it was propped up by the 200-hour SMA sitting at 10.8550. However, a rally that usually follows a breakout from double bottom pattern appeared to be short-lived. Recently the currency couple dived below the neck-line and may extend losses in future. This is also supported by market players who are bearish in 60% of cases.

USD/JPY 1H Chart: Broadening Falling Wedge

Comment: The U.S. Dollar has been depreciating against the Japanese Yen since February 25 when the pair started to shape a broadening falling wedge pattern. Now the pattern is 93-bar long and has average quality but high magnitude.

Up to now the pair has not shown any willingness to exit the range bounded by two diverging lines. Currently, USD/JPY is moving towards the upper limit of the pattern after it touched the lower boundary several hours earlier. The pair is likely to reach the pattern’s resistance in the hours to come taking into consideration that 62% of traders bet on appreciation of the pair.

USD/TRY 1H Chart: Channel Up

Comment: USD/TRY attained a record-high of 2.3909 late January that prompted the Turkish central bank to intervene to contain depreciation of the national currency. After that, the pair followed a pronounced downside trend for some time; however, the pair halted a drop in mid-February and commenced a formation of the channel up pattern.

At the moment, USD/TRY is succumbing to the selling pressure that is pushing the instrument below the 50-hour SMA at 2.2210. Nevertheless, 75% of market players are bullish on the pair. Besides, technical data is sending ‘sell’ signals for the medium term.

CAD/CHF 1H Chart: Channel Down

Comment: Since the very beginning of the year, the Canadian Dollar has been losing ground against the Swiss Franc; in mid-February the decline became more distinct and the pair was trapped by two downward sloping lines.

Now CAD/CHF is trading above the 50-hour SMA at 0.7957 that lies near the upper boundary of the 272-bar long channel down pattern. Despite a climb to the current level, the pair is still vacillating close to a recent low, 0.7897, the lowest mark in since 2011. According to technical data, CAD/CHF may prolong its advance to the pattern’s resistance in the nearest future; however, it is likely to swing to losses in the longer term.