USD/DKK 4H Chart: Ascending triangle dominatesThe US Dollar has been trading in a long-term descending channel against the Danish Krone in force since late 2016. The pair’s neat movement in this channel was disrupted in January when a reversal to the upside occurred without the pair reaching its bottom boundary.
The Greenback has since been moving in a slight up-trend, but it has nevertheless failed to overcome the 6.1169 mark. As a result, an ascending triangle was formed.
If looking at the pair’s movement during the past few weeks, the Greenback has reversed from the trend-line, breached the senior channel and has been gradually moving towards its four-month high of 6.1169. It is likely that the current bullish momentum prevails during the following weeks and pushes the rate for new highs. A possible target for the following week or two could be the 6.20 area.
