USD/DKK 1H Chart: Falling Wedge

18 thg 7, 2017

The US Dollar has been weakening against the Danish Krone since February, thus forming a falling wedge. The given pattern has been valid for several months now, which indicates that its maturity may be reached soon. This assumption is supported by the fact that the US Dollar is gradually moving towards a two-year low at 6.4040. This level may eventually turn into a point of reversal, thus setting the Greenback towards the upper channel boundary. Taking into account the fact that falling wedge is a continuation patter, the rate may not halt at the upper channel boundary, but instead continue to edge even higher. Immediate support is provided by the aforementioned low, while resistance is set by the monthly S1 at 6.4413.