Dukascopy Bank Team
Dukascopy Bank SA
USD/DKK 4H Chart: Triangle
Comment: USD/DKK is currently approaching the apex of the symmetrical triangle, meaning we should brace ourselves for a substantial increase in volatility. Considering the position of the pair with respect to the major trend-lines, specifically in the daily chart, the chances are in favour of a sell-off. The bearish outlook will be confirmed as soon as the price falls under 6.60. The first target in this case will be the September low at 6.51, followed by the August low at 6.37. The immediate resistance is at 6.65, while the key trend-line is at 6.76. The SWFX market participants appear to agree with the base scenario: as much as 71% of the open positions are short.
AUD/CHF 4H Chart: Channel Up
Comment: In the weekly chart AUD/CHF is in a clear down-trend, but over the next few weeks the Aussie has a good opportunity to recover. It has recently formed a bullish channel, and the medium-term outlook is therefore bullish. However, as the currency pair has just bumped into the upper boundary of the pattern, in the short term the bears are likely to push the price lower. AUD/CHF is expected to be capped by 0.7050. The bulls should then regain control of the pair either at 0.6850 (monthly PP and 200-period SMA) or at 0.68 (lower boundary of the pattern). In the meantime, a substantial majority of the SWFX market traders is long the Australian Dollar against the Swiss Franc, namely 71%.
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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