Japanese Candlesticks Analysis 05.10.2021 (EURUSD, USDJPY, EURGBP)

EURUSD, “Euro vs US Dollar”

As we can see in the H4 chart, during the pullback the asset has formed several reversal patterns, including Harami, not far from the resistance level. At the moment, EURUSD may reverse and start a new decline. In this case, the downside target may be at 1.1542. Later, the market may break the support area and continue trading downwards. However, an alternative scenario implies that the price may correct to reach 1.1660 before resuming its descending tendency.

USDJPY, “US Dollar vs Japanese Yen”

As we can see in the H4 chart, USDJPY has formed several reversal patterns, for example, Inverted Hammer, close to the support area. At the moment, USDJPY is reversing and may start a new rising impulse. In this case, the upside target may be at 111.90. At the same time, an opposite scenario implies that the price may correct towards 110.75 first and then resume trading upwards.

EURGBP, “Euro vs Great Britain Pound”

As we can see in the H4 chart, after forming several reversal patterns, such as Hammer, near the support level, EURGBP may reverse in the form of a new growth. In this case, the upside target may be at 0.8595. Later, the market may test the resistance area, break it, and continue the ascending tendency. Still, there might be an alternative scenario, according to which the asset may correct to reach 0.8509 before resuming its growth.