Japanese Candlesticks Analysis 26.10.2020 (EURUSD, USDJPY, EURGBP)

EURUSD, “Euro vs. US Dollar”

As we can see in the H4 chart, the correction within the uptrend continues. Right now, after forming a Hanging Man pattern close to the resistance area, EURUSD is reversing and may later resume falling to reach the target at the support level at 1.1745. At the same time, an alternative scenario says that the instrument may grow to reach 1.1900 without correcting towards the above-mentioned support level.

USDJPY, “US Dollar vs. Japanese Yen”

As we can see in the H4 chart, after forming several reversal patterns, such as Hammer, close to the support area, USDJPY is reversing. In the future, the price may test the next resistance area at 105.70, break this level, and then continue the ascending tendency. In this case, the upside target is the resistance level at 106.45. Still, there is an opposite scenario, which says that the instrument may continue falling towards 104.26 before resuming its growth.

EURGBP, “Euro vs. Great Britain Pound”

As we can see in the H4 chart, the correction within the descending tendency continues. After forming several reversal patterns, including Hammer, not far from the support level, EURGBP has started reversing. The upside target is the next resistance level at 0.9145. However, according to an alternative scenario, the asset may continue trading downwards to reach 0.9000 without testing the above-mentioned resistance area.