EUR/SGD has been trading in a descending channel during the past seven weeks. The rate breached the prevailing senior channel along the way and fell to a new one-year low of 1.55 on Wednesday. This level corresponds to the bottom boundary of the aforementioned junior channel.
The pair has since recovered some lost positions and is gradually moving towards the upper channel line located near 1.5715. Even tough short-term technical signals are bearish, the general market sentiment nevertheless remains bullish. It means that the Euro should reach the upper channel line next week and continue its appreciation even further away from its yearly low.
A possible upside target within the following month is the 1.65 area where the breached senior channel and the monthly R3 are located.
The pair has since recovered some lost positions and is gradually moving towards the upper channel line located near 1.5715. Even tough short-term technical signals are bearish, the general market sentiment nevertheless remains bullish. It means that the Euro should reach the upper channel line next week and continue its appreciation even further away from its yearly low.
A possible upside target within the following month is the 1.65 area where the breached senior channel and the monthly R3 are located.