USD/SGD 1H Chart: US Dollar respects wedge
The US Dollar was trading in two patterns simultaneously, namely, a channel down valid since early October and a week-long ascending wedge. As apparent on the chart, the latter prevailed when the rate breached the upper channel boundary early on Friday.
In general, ascending wedge is a bearish pattern that should eventually push the rate lower. Thus, it is likely that the US Dollar reaches the weekly R1 and the 23.6% Fibo at 1.3610, reverses to the south and breaches the junior pattern near the 1.3570 mark.
The pair still faces the 55-, 100– and 200-hour SMAs, the 38.2% Fibo and the weekly PP along the way—a support area that is located near the aforementioned line.
In case of a breakout, the Greenback should initiate a new down, thus requiring to adjust to the upside the previously-drawn channel lines.
In general, ascending wedge is a bearish pattern that should eventually push the rate lower. Thus, it is likely that the US Dollar reaches the weekly R1 and the 23.6% Fibo at 1.3610, reverses to the south and breaches the junior pattern near the 1.3570 mark.
The pair still faces the 55-, 100– and 200-hour SMAs, the 38.2% Fibo and the weekly PP along the way—a support area that is located near the aforementioned line.
In case of a breakout, the Greenback should initiate a new down, thus requiring to adjust to the upside the previously-drawn channel lines.
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.