Japanese Candlesticks Analysis 07.12.2021 (EURUSD, USDJPY, EURGBP)

EURUSD, “Euro vs US Dollar”

As we can see in the H4 chart, the asset has formed several reversal patterns, including Doji, close to the support level. At the moment, EURUSD may reverse and continue forming the correctional impulse. In this case, the upside correctional target may be at 1.1350. Later, the market may rebound from the channel’s upside border and resume the descending tendency. However, an alternative scenario implies that the price may continue falling to reach 1.1190 without testing the descending channel’s upside border.

USDJPY, “US Dollar vs Japanese Yen”

As we can see in the H4 chart, USDJPY has formed several reversal patterns, for example, Harami and Hammer, while testing the support area. At the moment, USDJPY may reverse and start a new wave to the upside towards the resistance level. In this case, the upside target may be at 114.25. At the same time, an opposite scenario implies that the price may continue falling to reach 113.00 before resuming its growth towards the resistance level.

EURGBP, “Euro vs Great Britain Pound”

As we can see in the H4 chart, after forming a Shooting Star reversal pattern near the resistance level, EURGBP is reversing and may start another decline towards the support area. In this case, the downside target may be at 0.8445. Later, the market may test the area, break it, and continue the descending tendency. Still, there might be an alternative scenario, according to which the asset may correct to reach the channel’s upside border at 0.8530 before resuming its decline.