EUR/DKK 1H Chart: Two scenarios likely

The Euro has been appreciating against the Danish Krone within the rising wedge pattern since the end of September. As apparent on the chart, the EUR/USD currency pair exceeded the psychological level at 7.4700.

From a theoretical perspective, it is likely that a breakout south could occur within the following trading sessions. A possible downside target is the Fibonacci 23.60% retracement at 7.4640.

However, note that the exchange rate is supported by the 55-, 100- and 200-hour moving averages, currently located in the 7.4716/7.4722 range. Thus, some upside potential could prevail in the market.