Japanese Candlesticks Analysis 20.08.2021 (EURUSD, USDJPY, EURGBP)

EURUSD, “Euro vs US Dollar”

As we can see in the H4 chart, the asset has formed several reversal patterns, including Hammer, not far from the support level. At the moment, EURUSD may reverse and start a new pullback. In this case, the correctional target may be at 1.1730. Later, the market may rebound from the resistance area and resume trading downwards. However, an alternative scenario implies that the price may break the support level and fall to reach 1.1616 without correcting towards the resistance area.

USDJPY, “US Dollar vs Japanese Yen”

As we can see in the H4 chart, USDJPY has formed an Engulfing pattern not far from the resistance area. At the moment, USDJPY is reversing and may start a new decline towards 109.40. At the same time, an opposite scenario implies that the price may continue growing towards 109.95 before resuming its descending tendency.

EURGBP, “Euro vs Great Britain Pound”

As we can see in the H4 chart, after forming several reversal patterns, for example, Doji and Hammer, near the support area, EURGBP is reversing in the form of a new growth towards the channel’s upside border. In this case, the correctional target may be at 0.8595. Later, the market may rebound from the resistance level and resume its descending tendency. Still, there might be an alternative scenario, according to which the asset may continue falling towards 0.8530 without testing the resistance level.