FxWirePro: Brazilian Real evidences 7-month highs in just 1 month after "Shooting star and Hanging Man" formation, more dips on cards

On daily charts, USDBRL has formed descending triangle.

The prices have been consistently below 21DMA, price slumps have remained below sloping side of the triangle ever since it has dropped from the resistance at 4.0145 levels.

RSI is in convergence to the declining trend. While, %D crossover on stochastic oscillator signals selling momentum is intensified.

On a broader perspectives, "shooting star and hanging man" patterns were traced out back to back.

Ever the formation of these bearish patterns, we've seen huge dips as the rejection of resistance at 4.0145 levels brings in little weakness in this pair.

RSI and Stochastic curves are also in conformity to the these dips,

Bearish crossover (%D at  and %K at ) seen on stochastic above overbought zones.

MACD is in an attempt to show bearish convergence too.

Overall, as we've seen dips from the peaks of 4.2476 to the current 3.5637 levels (almost 16.11%), which makes the BRL the "7-month highs" in just a span of one month.

For now, the trend looks more bearish  bias as it has broken out the triangle baseline at 3.58 levels.