Last week I analysed the two currency pairs USDJPY and USDCHF with quite good results. Looking at the current situation on the charts, they seem to be still interesting, on both pairs with a high probability we can expect a continuation of declines.
USDJPY – Daily chart (left) – the price has again left the Inside Bar pattern and the exit seems to have been successful this time.
The H4 chart shows a bearish pin bar negating 111.70 and the price, after a possible small upward correction (towards the lower IB limit), may start moving towards the nearest demand zone 110.20. Sell orders with Stop Loss above 111.70 may turn out to be a good idea for the upcoming sessions.
USDCHF – Friday’s daily candle has created an outside bar – bearish engulfing and with the decreasing MACD oscillator it is a fairly strong signal to continue the decline. Again, the demand zone 1.01240 may become a place where supply and demand will be fighting, which may result in another upward correction. However, if this level is overcome, the decreases may become more dynamic.
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