Daily Forex Update: USD/HKD
By: Dima Chernovolov
USD/HKD continues to rise inside the Clear Ascending Triangle chart pattern identified by Autochartist on the 4-hour charts. Autochartist rates the overall Quality of this cart pattern at the 5 bar level as a result of the low Initial Trend (3 bars), below average Uniformity (4 bars) and significant Clarity (7 bars). The bottom of this chart pattern (point C on the chart below) formed when the USD/HKD reversed up from the strong support level 7.7530, which has been revising the pair up from the start this year. The C to B upward impulse of this Ascending Triangle had previously broken up through the descending resistance trendline from the May of 2012. The pair has recently reversed up (at point E) from the 50% Fibonacci Retracement of the aforementioned C to B upward price impulse and is expected to rise further.
The daily USD/HKD chart below shows the technical price levels mentioned above:
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