AUD/JPY Is Falling

AUD/JPY moved to the upside for several days until it finally found resistance at 84.15 and bounced off from that level after forming a pair of candlesticks on the four-hour time-frame that were a great signal for the reversal. Namely, it formed a shooting star candlestick and a doji candlestick below the aforementioned resistance level. Currently the pair is testing the support at 83.35 and it is very likely to break out below that level as well. If or when it does, it will likely continue falling towards the next support, which is at 82.85 and coincides with the (MA)89 indicator on the four-hour time-frame. A breakout below that support too could lead to a further drop towards 82.00.

AUD/USD Is Rising

After several months of moving to the downside AUD/USD finally found some support at 0.7410 and formed several very telling candlesticks on the weekly time-frame that were a very good signal for a likely trend reversal. Namely, the pair formed several hammer candlesticks and one inverted hammer candlestick, all above the aforementioned support level. The pair did bounce off from it and is currently still moving to the upside. The closest target will likely be at 0.7690, which is the (MA)89 indicator on the weekly time-frame. If the pair breaks out above that resistance it will likely continue rising towards the last high, which is at 0.7810.

EUR/CAD May Bounce off from 1.4990

EUR/CAD reached the support at 1.4990 which coincides with the (MA)89 indicator on the weekly time-frame last week and although it formed a clear hammer candlestick on the same time-frame at that level the pair did manage to break out below the support. The breakout, however, was quite brief, and now EUR/CAD is back above the indicator. What is more, the week is almost over and the pair is in the process of forming another hammer candlestick. If it does form such a candlestick that will be another signal that it will probably bounce off from 1.4990 and start moving to the upside. If or when it does the closest target will likely be at 1.5300.