© Dukascopy Bank SA
A 201-bar long Channel Down pattern was formed by CAD/HKD in the beginning of May. At the moment of writing the pair was traded at 7.400, almost in the middle of a trading range.
As aggregate technical indicators do not give a clear "buy" or "sell" signals, the pair is likely to be driven by market sentiment, which is strongly bullish (70%). Therefore, a movement to the north is expected. The first strong resistance level can be found at 7.4306, around 300 pips above the current market price.
© Dukascopy Bank SA