Japanese Candlesticks Analysis 03.07.2019 (USDCAD, AUDUSD)

USDCAD, “US Dollar vs Canadian Dollar”

As we can see in the H4 chart, USDCAD has tested the support level while trading downwards and formed Hammer reversal pattern. Right now, there are several reversal patterns that indicate a strong signal. Possibly, the price may rebound from the support level and start a new growth with the target at 1.3225. However, we shouldn’t ignore a possibility that the instrument may move sideways without reversing, break the support level, and continue its decline to reach 1.3035.

AUDUSD, “Australian Dollar vs US Dollar”

As we can see in the H4 chart, AUDUSD has formed Engulfing reversal pattern while testing the channel’s upside border. Right now, the price is reversing and forming a new correction towards the resistance level. The current situation implies that the instrument may rebound to resume falling and continue the descending tendency towards 0.6835. However, we shouldn’t ignore a possibility that the instrument may break the resistance level and continue growing to reach 0.7065.