Japanese Candlesticks Analysis 16.08.2022 (USDCAD, AUDUSD, USDCHF)

USDCAD, “US Dollar vs Canadian Dollar”

As we can see in the H4 chart, after forming several reversal patterns close to the resistance level, such as Harami, USDCAD may reverse in the form of a new descending impulse. In this case, the downside target may be at 1.2830. Later, the market may break this level and continue falling. However, an alternative scenario implies that the asset may correct to reach 1.2950 and continue the downtrend only after the pullback.

AUDUSD, “Australian Dollar vs US Dollar”

As we can see in the H4 chart, AUDUSD has formed an Engulfing reversal pattern near the support area. At the moment, the asset is reversing in the form a new rising impulse. In this case, the upside target may be the resistance level at 0.7090. After testing the level, the price may break it and resume the ascending tendency. At the same time, the opposite scenario implies that the price may correct to reach the channel’s downside border at 0.6985 and continue the uptrend only after the pullback.

USDCHF, “US Dollar vs Swiss Franc”

As we can see in the H4 chart, after testing the resistance area, the pair has formed a Doji reversal pattern. At the moment, USDCHF may reverse in the form of a new descending impulse. In this case, the downside target may be at 0.9370. After testing the support level, the price may break it and continue trading downwards. Still, there might be an alternative scenario, in which the asset may correct to reach 0.9510 and continue the descending tendency only after the pullback.