Japanese Candlesticks Analysis 24.12.2021 (XAUUSD, NZDUSD, GBPUSD)

XAUUSD, “Gold vs US Dollar”

As we can see in the H4 chart, the asset is still trading upwards. After forming a Hammer reversal pattern not far from the support level during the pullback, XAUUSD may reverse and continue forming its rising impulse. In this case, the upside target may be the resistance area at 1835.50. At the same time, an opposite scenario implies that the price may correct towards 1795.00 first and then resume trading upwards.

NZDUSD, “New Zealand vs US Dollar”

As we can see in the H4 chart, NZDUSD has formed an Engulfing reversal pattern close to the resistance area. At the moment, the asset may reverse in the form of a new descending impulse towards the support level. In this case, the downside target may be at 0.6760. After that, the asset may break this level and continue moving downwards. However, an alternative scenario implies that the price may correct to reach 0.6890 before resuming its decline.

GBPUSD, “Great Britain Pound vs US Dollar”

As we can see in the H4 chart, GBPUSD has formed a Shooting Star reversal pattern near the resistance area. At the moment, the pair may reverse and continue the correctional wave. In this case, the downside correctional target may be at 1.3345. After testing the support level, the market may rebound from it and resume trading upwards. Still, there might be an alternative scenario, according to which the asset may continue growing to reach 1.3465 without any corrections towards the support level.