Japanese Candlesticks Analysis 12.10.2020 (USDCAD, AUDUSD, USDCHF)

USDCAD, “US Dollar vs Canadian Dollar”

As we can see in the H4 chart, the descending tendency continues. Right now, after testing the support area and forming several reversal patterns, such as Inverted Hammer, USDCAD is expected to reverse and correct towards 1.3170. After completing the pullback, the instrument may resume falling to reach the first downside target at 1.3060.

AUDUSD, “Australian Dollar vs US Dollar”

As we can see in the H4 chart, the asset is completing another correction. Right now, the pair is testing the descending channel’s upside border. Possibly, the price may rebound from the resistance area and resume trading downwards to reach the target at 0.7130. At the same time, an opposite scenario says that the price may grow to reach 0.7260 before resuming its decline.

USDCHF, “US Dollar vs Swiss Franc”

As we can see in the H4 chart, after breaking the rising channel’s downside border and forming several Hammer patterns close to the horizontal support level, USDCHF is expected to reverse and correct towards 0.9155. Later, the market may rebound from this level and resume falling. In this case, the downside target may be at 0.9060. Still, there might be an alternative scenario, according to which the asset may get back inside the rising channel.