Analysis of EUR/USD, USD/JPY and USD/CHF daily charts to highlight key levels and patterns.
- Several bearish reversal patterns have formed to mark a series of marginally lower highs.
- Friday’s bearish engulfing candle warns of another leg lower.
- 1.1525/37 remains key support for bulls, with a break lower exposing the 1.1300 low.
EURUSD Daily Chart
- Compressing between two highs, USD/JPY trades within a tight range ahead of Wednesday’s BOJ meeting.
- The series of higher swing lows favours a bullish continuation.
- The 113 handle near the July highs makes a likely bullish target.
USDJPY Daily Chart
- A tighter bearish channel is forming to suggest bearish momentum is increasing.
- A bearish hammer below the 20-day average could mark a corrective high.
- Whilst below 0.7229, a run towards 0.7085 is on the cards with the potential to break lower.
AUDUSD Daily Chart