Japanese Candlesticks Analysis 10.02.2020 (EURUSD, USDJPY)

EURUSD, “Euro vs. US Dollar”

As we can see in the H4 chart, the descending tendency continues. After completing several reversal candlestick patterns, such as Harami, close to the channel’s downside border, EURUSD is reversing. We may assume that later the price may test 1.0991 and then resume its decline to reach the support level at 1.0906. However, one shouldn’t exclude a possibility that the price may continue falling without any corrections.

USDJPY, “US Dollar vs. Japanese Yen”

As we can see in the H4 chart, USDJPY is still moving inside the rising channel. After forming Hanging Man pattern, the pair is correcting. The current situation implies that the pair may finish the correction and resume growing to reach 110.20. At the same time, the pair may choose another scenario, according to which it is expected to return to 109.00 without testing the resistance level.