The Singapore Dollar has experienced a strong 6% gain in less than a year against the USD since June 2012. Prices have bounced along the red diagonal trend line, and the bullish trade was well above the kumo the whole time.
In November 2012 we saw a break below the red trend line, followed by a kumo break to the downside in January 2013. Prices have been consolidating in the green rectangle since September 2012 and we see the future kumo clouds thin and twisting. The base of the green rectangle also coincides with the kumo shadow support and we saw prices bounce off this level at around 0.81.
The down trend will likely resume if we see a break below the green rectangle. Chikou (Lagging) Span (the faint gray line) is currently hovering inside the kumo cloud. Once Chikou Span breaks below the kumo, it will be further confirmation of a bearish move ahead.