USD/HKD has just completed the Up Channel chart pattern on the daily charts. The Quality of this chart pattern is rated at the 5 bar level, which is the consequence of the low values of the Initial Trend and the Clarity indicators (both measured at 2 bar level) as well as high Uniformity (rated at 7 bar level) of this Up Channel. High Uniformity of this chart pattern reflects even progression of the uptrend that has been developing inside this price formation during the last 80 days. The price has just broken through the upper resistance line of this Up Channel with the Breakout, whose strength is measured at the highest 10 bar level. The pair is expected to rise toward the Forecast Zone located between the price levels 7.8001 and 7.8053. Expect strong resistance at the 7.8053 level- as it coincides with the former double top that ended the previous uptrend in June of the last year.
As you can see from the PowerStats chart below, the upper boundary of the daily Expected Price Range for USD/HKD stands at the 7.8002 (a pip above the lower border of the Forecast Zone described above). This increases the chances that this upward Breakout will attract sufficient follow-through buying tomorrow.
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