Japanese Candlesticks Analysis 16.02.2021 (EURUSD, USDJPY, EURGBP)

EURUSD, “Euro vs. US Dollar”

As we can see in the H4 chart, the ascending tendency continues. Right now, EURUSD is testing the resistance area where it has formed several reversal patterns, including Engulfing. Possibly, the asset may continue moving upwards. In this case, the upside target may be at 1.2250. However, an alternative scenario implies that the price may correct to reach 1.2085 before testing 1.2250.

USDJPY, “US Dollar vs. Japanese Yen”

As we can see in the H4 chart, USDJPY has formed a Shooting Star reversal pattern while testing the resistance level. Judging by the previous movements, one may assume that the asset may reverse and start a new pullback. In this case, the correctional target is the support area at 105.05. At the same time, an opposite scenario implies that the price may continue its growth to reach 106.00 without reversing and correcting.

EURGBP, “Euro vs. Great Britain Pound”

As we can see in the H4 chart, after forming a Hammer reversal pattern not far from another support level, EURGBP may reverse and form a new pullback. In this case, the upside target is the resistance area at 0.8750. However, judging by previous movements, the pair may yet continue its decline to reach 0.8680 without correcting towards the resistance area.