EUR/HKD 1H Chart: Channel Up

Similarly to USD/CHF, the most recent 360 trading hours of EUR/HKD are forming a pattern, although a channel up in this case. Consequently, the Euro has a higher chance of appreciating relative to the Hong Kong Dollar than moving in a different direction. The current position of the currency pair only adds to the bullishness, since the spot has recently hit the rising support line, thereby making a rebound the most probable scenario in the short run. Proximity of the 200-hour SMA supports this idea, even though on a four-hour chart the technical indicators are largely giving 'sell' signals.