EUR/NOK 1H Chart: Ascending Triangle

Yesterday we were discussing the rising wedge EUR/NOK is still forming. In the shorter term  there is a different pattern emerging—an ascending triangle. Although its length is merely 40 bars, both the resistance at 7.8789 and the up-trend line were consistently confirmed by the most recent price action.

Concerning the breakout, it is likely that in the short run the currency pair will manage to rally, as continuation of the senior trend. Longer term perspectives, on the other hand, are bearish. This is shown by the technicals and SWFX sentiment index.