© Dukascopy Bank SA
The overall trend in CAD/HKD is sideways, however, during the last several months the pair has been climbing higher. On April 23 the pattern was at risk of a breakout, as bears pushed the pair up to the lower trend line. The level of 7.0139 also supported by a 200-period SMA managed to limit pair's depreciation and until now bears are forced to retreat. Aggregate technical indicators are neutral on three different timeframes, suggesting the pair can continue fluctuating around pattern's support. Market sentiment is not clearly marked as well, hence, traders are neutral as well. A move above 7.0942 will clear the way for 7.1254, while a penetration of 7.0587 will indicate bearish trend.
© Dukascopy Bank SA