USDSGD inside large downward parallel channel

Good day traders,

I have an analysis of USDSGD for today.  Look at my last post on USDSGD here: https://technicalanalysistalk.wordpress.com/2012/05/20/usdsgd-very-high-anything-can-happen/

The large downward parallel channel proved correct as USDSGD pushed the higher half of 1.2900-1.3000 before correcting down in a nice downward parallel channel. Take note of the larger picture: sliding below the 200-day MA, and a short-term downward channel in play.

Zooming in, I plot a fibonacci retracements study taking the high at 1.29 and the low at 1.23. Throughout the formation of the downward parallel channel, USDSGD traded well at the important retracement levels. As of Friday’s close, the 78.6% level is in play, along with the bottom of the parallel channel. In the long-run, I am still expecting depreciation of the greenback against the singdollar. In the short-run, the parallel channel may support USDSGD, which then gives me a long set-up, if not, I can try to catch some pips down to the 1.23 region.

All analyses, recommendations, discussions and other information herein are published for general information. Readers should not rely solely on the information published on this blog and should seek independent financial advice prior to making any investment decision. The publisher accepts no liability for any loss whatsoever arising from any use of the information published herein.

 

 

Advertisements

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out / Change )

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s

%d bloggers like this: