Dukascopy Bank Team
Dukascopy Bank SA
USD/NOK 1H Chart: Channel Up
Comment: A three-day climb of USD/NOK performed inside a bullish channel pushed the pair to a six-month high of 6.2811 Jul 30. However, the instrument failed to settle at this high and is not likely to re-approach this peak any time soon since the pair has recently broken the lower trend-line of the 51-bar long formation. Consequently, we may observe an accelerating decline in the hours to come. The bearish scenario is further fortified by the SWFX data – more than 80% of all orders are placed to sell the pair. tAt the same time, technical data contradicts to the traders’ view, pointing to a possible rise in the medium-term.
EUR/HKD 1H Chart: Channel Down
Comment: Since the very beginning of July, the single European currency has been in the down-trend against the Hong Kong Dollar and by the second part of the month the pair embarked upon formation of the channel down pattern.
At the moment, the currency couple is sitting not far away from a one-year low of 10.3601 it reached a day earlier but traders has not lost faith in the pair ability to increase the distance from this low – circa 60% of positions on the SWFX are long. Meanwhile, technical numbers suggest some weakness may be present in the four-hour perspective.
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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