Japanese Candlesticks Analysis 09.01.2020 (USDCAD, AUDUSD)

USDCAD, “US Dollar vs Canadian Dollar”

As we can see in the H4 chart, the descending tendency continues. By now, the pair has finished several reversal patterns, including Hammer, near the channel’s downside border. The current situation implies that USDCAD may form a slight ascending correction to reach 1.3060 and then resume falling. However, we shouldn’t ignore an alternative scenario, according to which the instrument may return to 1.3141 without testing the channel’s upside border.

AUDUSD, “Australian Dollar vs US Dollar”

As we can see in the H4 chart, the pair has corrected withing the ascending tendency: it has formed several reversal patterns, including Hammer, close to the channel’s downside border. Right now, AUDUSD is starting to reverse; the upside target may be at 0.6947. However, we shouldn’t ignore an alternative scenario, which implies that the instrument may continue falling towards 0.6845.