Hello dear colleagues!
EUR/USD is in a correctional phase with prospects for a further bullish momentum. Key resistance is seen at 1.2238. GBP/USD is expected to resume its climb after 1.3725 is broken. Key support is at 1.3607. USD/CHF is likely to develop the upward structure which began on January 6 after 0.8909 is breached. Key support is seen at 1.8824. USD/JPY is making a deep downward correction. 103.49 is considered to be key support. EUR/JPY is expected to continue its bullish run after 127.07 is broken, 126.43 is key support. GBP/JPY is being monitored in terms of the upward cycle which started on January 5. Key resistance is at 142.10 and key support is at 141.23.
Outlook for January 13, 2021
Analytical review of popular currency pairs is made on 1-hour charts.
According to the 1-hour chart, key levels for EUR/USD are following: 1.2340, 1.2308, 1.2287, 1.2238, 1.2190, 1.2170, 1.2137, 1.2099, and 1.2076. The price is making a downward correction which began on January 7. However, analysts reckon prospects for the bullish momentum. The pair will resume its climb after 1.2238 is broken with the target at 1.2287. The price is going to make a short-term rise in the corridor of 1.2287 – 1.2308 consolidating gains. The ultimate upward target is seen at 1.2340. Once this target is reached, the price will consolidate and retrace downwards.
A short-term downward move is possible in the corridor of 1.2190 – 1.2170. If the latter is broken, this will open the door further downwards with the first target of 1.2137. If the level of 1.2135 is broken, it will activate a bearish move with the target of 1.2076. Once this level is reached, the pair will consolidate in the corridor of 1.2099 – 1.2076.
The overall trend is bearish which has been going on since January 7. The pair is making a downward correction.
Trading tips:
Buy: 1.2240 Take profit: 1.2287
Buy: 1.2310 Take profit: 1.2340
Sell: 1.2190 Take profit: 1.2170
Sell: 1.2168 Take profit: 1.2137
According to the 1-hour chart, key levels for GBP/USD are the following: 1.3855, 1.3822, 1.3765, 1.3725, 1.3644, 1.3607, and 1.3565. Make sure you monitor the upward move which began on January 11. A short-term climb is expected in the corridor of 1.3725 – 1.3765. If it is broken, the pair will form a clear-cut bullish move with the target of 1.3822. The ultimate upward target is considered at 1.3855. Once it is reached, I expect a consolidation and a downward retracement.
A short-term bearish move is likely to be in the corridor of 1.3644 – 1.3607. If the lower level is broken, the price will develop a deep correction with the target at 1.3565. This level is seen as key support.
The overall trend is bullish which has been going on since January 11.
Trading tips:
Buy: 1.3725 Take profit: 1.3765
Buy: 1.3767 Take profit: 1.3820
Sell: 1.3644 Take profit: 1.3608
Sell: 1.3605 Take profit: 1.3565
In terms of the 1-hour chart, USD/CHF has the following key levels: 0.8985, 0.8966, 0.8933, 0.8909, 0.8876, 0.8855, and 0.8824. Traders should keep track of the upward structure which started on January 6. A short-term upward move could happen in the corridor of 0.8909 – 0.8933. If the lower level is broken, this will trigger a clear-cut upward move with the target of 0.8966. The ultimate target is expected at 0.8985. As soon as it is reached, I foresee a consolidation to be followed by a retracement downwards.
The price will consolidate in the corridor of 0.8876 – 0.8855. The breakout of the lower level will lead to a deep correction with the target of 0.8824. This level is seen as key support for the upward move.
The overall trend is bullish which has been going on since January 6.
Trading tips:
Buy: 0.8911 Take profit: 0.8931
Buy: 0.8934 Take profit: 0.8966
Sell: Take profit:
Sell: 0.8854 Take profit: 0.8830
For USD/JPY, the following levels are recommended to be monitored: 104.42, 104.08, 103.87, 103.49, 103.22, 102.88, and 102.66. The price is generating potential for a downward cycle which began in January 11. A brief bearish move is expected in the range of 103.49 – 103.22. If the lower level is broken, this will entail a clear-cut downward move with the target at 102.88. The ultimate target is seen at 102.66. Once it is reached, the price will consolidate its decline and retrace upwards.
A brief bullish move is expected in the corridor of 103.87 – 104.08. If the upper level is breached, this will open the door for a further uptrend with the target of 104.42.
The overall trend is bullish which has been underway since January 6. The pair has been generating the bearish momentum since January 11.
Trading tips:
Buy: 103.88 Take profit: 104.06
Buy: 104.11 Take profit: 104.40
Sell: 103.49 Take profit: 103.23
Sell: 103.20 Take profit: 102.90
Here are the key levels for USD/CAD according to the 1-hour chart: 1.2870, 1.2833, 1.2807, 1.2767, 1.2726, 1.2692, and 1.2629. The price is developing the upward structure since January 6. The pair will continue its climb once 1.2767 is broken. The target is seen at 1.2807. A brief bullish move is expected in the corridor of 1.2807 – 1.2833 that will be followed by consolidation. The ultimate upward target is projected at 1.2870. Once it is reached, I expect a consolidation to be followed by a downward retracement.
The overall trend is bullish which has been going on since January 6. USD/CAD is in a correction phase now.
Trading tips:
Buy: 1.2768 Take profit: 1.2807
Buy: 1.2808 Take profit: 1.2832
Sell: 1.2725 Take profit: 1.2694
Sell: 1.2690 Take profit: 1.2631
AUD/USD has the following key levels: 0.7903, 0.7872, 0.7825, 0.7791, 0.7740, 0.7713, 0.7668, and 0.7629. The price has been forming strong bullish momentum since January 11. After 0.7791 is broken, the price will extend its climb with the target at 0.7825. The pair will consolidate its gains at around this level. If 0.7825 is broken, this will enable a strong bullish move with the target of 1.7872. The ultimate upward target is seen at 0.7903. Once it is reached, the price will consolidate its gains and make a downward retracement.
A brief bearish move is expected in the corridor of 0.7740 – 0.7713. From here, the odds are that the pair will reverse upwards. A breakout of 0.7713 will lead to a further bearish trend with the first target at 0.7668. A deeper downward target is seen at 0.7629.
The overall trend is bearish which has been going on since January 6. The bullish momentum has been in cards since January 11.
Trading tips:
Buy: 0.7791 Take profit: 0.7824
Buy: 0.7827 Take profit: 0.7872
Sell: 0.7740 Take profit: 0.7715
Sell: 0.7711 Take profit: 0.7670
I point out the following key levels for EUR/JPY: 128.82, 128.37, 128.07, 127.62, 127.07, 126.72, and 126.43. Make sure you monitor developments of the bullish structure which has been going on since January 5. At the moment, the pair is about to cancel this bullish scenario. Once 127.07 is broken, the price will resume its rise with the first target at 127.62. If this level of 127.62 is breached, the price will intensify its climb with the target at 128.07. A brief upward move is expected in the corridor of 128.07 – 128.37 that will be followed by a consolidation. The ultimate upward target is seen at 128.82. As soon as it is hit, the price will consolidate its gains and retrace downwards.
Consolidation is expected in the range of 126.72 – 126.43. The breakout of the lower level will open the door for a bearish move with the target of 125.99.
Trading tips:
Buy: 127.10 Take profit: 127.60
Buy: 127.65 Take profit: 128.07
Sell: Take profit:
Sell: 126.40 Take profit: 126.00
Here are key levels for GBP/JPY in the 1-hour chart: 143.36, 143.04, 142.48, 142.10, 141.50, 141.23, 140.82, and 140.28. Traders are keeping tabs on the upward structure which has been developing since January 5. A short-term bullish move is expected in the corridor of 142.10 – 142.48. A breakout of the upper level will entail a strong upward move with the target at 143.04. The ultimate bullish target is seen at 143.36. Once it is reached, the price will consolidate its gains and then retrace downwards.
A brief bearish move could happen in the corridor of 141.50 – 141.23. A breakout of the lower level will lead to a deep correction with the target at 140.82. This level is considered key support.
The ongoing move is the development of the bullish structure which started on January 5.
Trading tips:
Buy: 142.12 Take profit: 142.44
Buy: 142.52 Take profit: 143.04
Sell: 141.50 Take profit: 141.24
Sell: 141.20 Take profit: 140.84
If you have any questions on this analysis, feel free to contact the author on MT5 forum.
