EUR/SGD 1H Chart: Channel Up

Soon after a precipitous (80-pip) decline that took place on Nov 20, the currency pair found a formidable support level at 1.6720, an event which allowed EUR/SGD to begin a recovery that later on developed into a full-blown channel up pattern.

According to this formation, the price is just a few pips away from the resistance created by the up-trend line and the daily R2. Consequently, there is a high chance that the Euro will soon commence a bearish correction, which in turn is expected to be stopped around 1.6859, the current location of the lower boundary of the upward-sloping channel.