By: Dima Chernovolov
Analyst, Autochartist
USD/SGD is continuing to fall inside the very clear Down Channel chart pattern identified by Autochartist on the daily charts. Autochartist rates the Quality of this chart pattern at the 6 bar level as a result of the following values of the individual Quality indicators: average Initial Trend (rated at the 5 bar level), lower Uniformity (4 bars) and near maximum Clarity (measured at the 8 bar level). This chart pattern continues the prevailing downtrend that can be seen on the daily, weekly and the monthly charts. Point A of this Down Channel formed close to the pervious high near the round price level 1.2500 standing just below the 50% Fibonacci Retracement of the pervious sharp daily downward impulse (as you can seen on the second chart below). The price has just reversed from the 61,8% Fibonacci Correction of the first downward impulse of this Down Channel (from A to D) and is expected to fall further in the nearest time.
The following daily USD/SGD chart demonstrates the sharpness of the preceding down impulse:
For further information on this and other Autochartist products visit www.autochartist.com
*Forex trading is one of the riskiest forms of investment available in the financial markets and suitable for sophisticated individuals and institutions. The possibility exists that you could sustain a substantial loss of funds and therefore you should not invest money that you cannot afford to lose. Read the full risk disclaimer and privacy policy on trading at http://www.ibfx.com.
Learn currency trading with a free forex trading account at IBFX.