Japanese Candlesticks Analysis 23.10.2020 (USDCAD, AUDUSD, USDCHF)

USDCAD, “US Dollar vs Canadian Dollar”

As we can see in the H4 chart, the correction within the descending tendency continues. Right now, after re-testing the resistance area and forming several reversal patterns, such as Harami, USDCAD is expected to reverse and fall towards 1.3040. However, an alternative scenario implies that the price may return to the resistance area at 1.3245 before resuming the downtrend.

AUDUSD, “Australian Dollar vs US Dollar”

As we can see in the H4 chart, AUDUSD continues the correction from the channel’s downside border. Right now, after forming several reversal patterns, such as Harami, at the top of the correction, the pair is expected to reverse and move downwards. In this case, the downside target may be the support area at 0.7000. At the same time, an opposite scenario says that the price may grow to return o 0.7165 before resuming its decline.

USDCHF, “US Dollar vs Swiss Franc”

As we can see in the H4 chart, the downtrend continues. After forming several reversal patterns, such as Inverted Hammer, close to the horizontal support level, USDCHF is reversing and correcting. In this case, the upside target may be the resistance area at 0.9125. Still, there might be an alternative scenario, according to which the asset may continue falling and return to the support level at 0.9000 without reversing and correcting.