Japanese Candlesticks Analysis 08.05.2020 (GOLD, NZDUSD, GBPUSD)
XAUUSD, “Gold vs US Dollar”
As we can see in the H4 chart, after testing the horizontal support level, XAUUSD has formed an Inverted Hammer reversal pattern. At the moment, the pair is reversing. In this case, the price may finish the correction and then resume growing with the target at 1750.00. At the same time, the instrument may choose an opposite scenario and return to 1672.00.
NZDUSD, “New Zealand vs. US Dollar”
As we can see in the H4 chart, after rebounding from the support level, the price continues moving inside the rising channel. At the moment, NZDUSD is reversing after completing an Inverted Hammer pattern. In this case, the upside target may be at 0.6170. Still, one shouldn’t exclude another scenario, which says that the instrument may continue the ascending tendency only after finishing the correction towards 0.6020.
GBPUSD, “Great Britain Pound vs US Dollar”
As we can see in the H4 chart, after forming several reversal patterns, such as Hammer, not far from the channel’s downside border, GBPUSD is moving inside the rising channel again and trying to reverse. In this case, the upside target may be at 1.2590. However, there is another scenario, which implies that the instrument may correct towards 1.2323 before resuming its growth.