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Fractal analysis of major currency pairs for January 16

Dear colleagues.

For the currency pair Euro / Dollar, we are following the development of the downward structure from January 10. For the currency pair Pound / Dollar, the price has issued a local structure for the top of the January 15 and the development of which is expected after the breakdown of 1.2900. For the currency pair Dollar / Franc, we should continue the development of the upward cycle from January 10 after the breakdown of 0.9897. For the currency pair Dollar / Yen, the price is in the area of the downward structure of January 8 and we expect further downward movement after the breakdown of 107.96 and the level of 108.70 is the key support. For the currency pair Euro / Yen, the upward movement is expected after the breakdown of 125.15 and the level of 123.05 is the key support. For the currency pair Pound / Yen, the upward structure development is expected after the breakdown of 140.50.

Forecast for January 16:

Analytical review of H1-scale currency pairs:

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For the currency pair Euro / Dollar, the key levels on the H1 scale are 1.1496, 1.1428, 1.1404, 1.1376, 1.1358, 1.1321 and 1.1291. Here, we are following the development of the downward cycle of January 10. We expect the downward movement to continue after the price passes the range of 1.1376 - 1.1358. In this case, the target is 1.1321. The potential value for the bottom is considered the level of 1.1291, upon reaching which we expect a rollback to the top.

The consolidated movement is expected in the range of 1.1404 - 1.1428 and the breakdown of the latter value will lead to a prolonged correction. Here, the target is 1.1469 and this level is the key support for the downward structure.

The main trend is the downward cycle of January 10.

Trading recommendations:

Buy 1.1406 Take profit: 1.1426

Buy 1.1430 Take profit: 1.1466

Sell: 1.1358 Take profit: 1.1324

Sell: 1.1320 Take profit: 1.1294

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For the currency pair Pound / Dollar, the key levels on the H1 scale are 1.3118, 1.3057, 1.2973, 1.2900, 1.2821, 1.2779, 1.2720 and 1.2661. Here, the price has shaped the local potential for the continuation of the development of the upward trend of January 15. An upward movement is expected after the breakdown of 1.2900. In this case, the target is 1.2973 and price consolidation is near this level. The breakdown of the level of 1.2973 should be accompanied by a pronounced upward movement. Here, the target is 1.3057. The potential value for the top is considered the level of 1.3118, after reaching which we expect a rollback downwards.

The short-term downward movement is possible in the range of 1.2821 - 1.2779 and the breakdown of the last value will lead to a prolonged correction. Here, the target is 1.2720 and this level is the key support for the top. Its breakdown will have to form a downward structure. In this case, the potential target is 1.2661.

The main trend is the local structure for the top of January 15.

Trading recommendations:

Buy: 1.2900 Take profit: 1.2970

Buy: 1.2975 Take profit: 1.3055

Sell: 1.2820 Take profit: 1.2780

Sell: 1.2777 Take profit: 1.2724

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For the currency pair Dollar / Franc, the key levels on the H1 scale are 0.9984, 0.9951, 0.9930, 0.9897, 0.9857, 0.9834 and 0.9796. Here, the price continued to follow the development of the upward cycle from January 10. An upward movement is expected after the breakdown of 0.9897. In this case, the target is 0.9930 and in the range of 0.9930 - 0.9951 is the price consolidation. The potential value for the top is considered the level of 0.9984, upon reaching which we expect a rollback downwards.

The short-term downward movement is possible in the range of 0.9857 - 0.9834 and the breakdown of the latter value will lead to a prolonged correction. Here, the target is 0.9796 and this level is the key support for the upward structure.

The main trend is the ascending structure of January 10.

Trading recommendations:

Buy: 0.9897 Take profit: 0.9930

Buy: 0.9952 Take profit: 0.9982

Sell: 0.9855 Take profit: 0.9836

Sell: 0.9832 Take profit: 0.9800

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For the currency pair Dollar / Yen, the key levels on the scale of H1 are 108.69, 108.47, 108.29, 107.96, 107.66 and 107.25. Here, we continue to monitor the descending structure of January 8 on the scale of H1. We expect the downward movement to continue after the breakdown of 107.96. In this case, the target is 107.66 and price consolidation is near this level. A potential value for the bottom is considered to be the level of 107.25, a pronounced movement to which is expected after the breakdown of 107.65.

The short-term upward movement is possible in the range of 108.47 - 108.69 and the breakdown of the latter value will have to develop an upward trend. Here, the potential target is 109.08, up to this level, we expect the structure to be expressed for the top.

The main trend is the downward structure of January 8.

Trading recommendations:

Buy: 108.49 Take profit: 108.69

Buy: 108.72 Take profit: 109.06

Sell: 107.96 Take profit: 107.68

Sell: 107.64 Take profit: 107.27

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For the currency pair Canadian dollar / Dollar, the key levels on the H1 scale are 1.33.95, 1.3320., 1.3271, 1.3201, 1.3150 and 1.3065. Here, we continue to monitor the downward structure of December 31. At the moment, the price is in the correction and in the range of 1.3201 - 1.3150, we expect a short-term downward movement, as well as consolidation. The potential value for the bottom is considered the level of 1.3065, after reaching which we expect a rollback to the correction.

The short-term upward movement is possible in the range of 1.3271 - 1.3320 and the breakdown of the latter value will lead to an in-depth correction. Here, the target is 1.3395 and this level is the key support for the downward structure.

The main trend is the downward cycle of December 31, the stage of correction.

Trading recommendations:

Buy: 1.3271 Take profit: 1.3320

Buy: 1.3330 Take profit: 1.3395

Sell: 1.3201 Take profit: 1.3155

Sell: 1.3145 Take profit: 1.3070

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For the currency pair Australian dollar / Dollar, the key levels on the H1 scale are 0.7391, 0.7313, 0.7270, 0.7238, 0.7180, 0.7152 and 0.7113. Here, we are following the ascending structure of January 3. The short-term upward movement is possible in the range of 0.7238 - 0.7270 and the breakdown of the latter value will lead to the movement to the level of 0.7313, near which consolidation is expected. The potential value for the top is considered to be the level of 0.7391 and we expect a movement to this level after the breakdown of 0.7315.

The short-term downward movement is possible in the range of 0.7180 - 0.7152 and the breakdown of the latter value will lead to a prolonged correction. Here, the target is 0.7113 and this level is the key support for the upward structure.

The main trend is the ascending structure of January 3.

Trading recommendations:

Buy: 0.7238 Take profit: 0.7270

Buy: 0.7273 Take profit: 0.7312

Sell: 0.7180 Take profit: 0.7155

Sell: 0.7150 Take profit: 0.7120

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For the currency pair Euro / Yen, the key levels on the H1 scale are 127.22, 126.70, 125.79, 125.15, 123.74 and 123.05. Here, we continue to follow the rising structure of January 3. At the moment, the price is in a deep correction. An upward movement is expected after the breakdown of 125.15. In this case, the target is 125.79 and price consolidation is near this level. The breakdown of 125.80 must be accompanied by a pronounced upward movement. Here, the goal is 126.70. The potential value for the top is considered the level of 127.22, after reaching which we expect a consolidated movement, as well as a rollback to the top.

The short-term downward movement is possible in the range of 123.74 - 123.05 and the breakdown of the latter value will have to form a downward structure. In this case, the potential target is 122.03, up to this level, we expect clearance of expressed initial conditions for the downward cycle.

The main trend is the ascending structure of January 3, the stage of deep correction.

Trading recommendations:

Buy: 125.15 Take profit: 125.76

Buy: 125.82 Take profit: 126.70

Sell: 123.70 Take profit: 123.10

Sell: 123.05 Take profit: 122.10

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For the currency pair Pound / Yen, the key levels on the H1 scale are 141.90, 140.50, 139.49, 137.49, 136.81 and 135.70. Here, we continue to follow the development of the ascending structure of January 3. The continuation of the movement upward is expected after the breakdown of 139.50. In this case, the first target is 140.50 and consolidation is near this level. The potential value for the top is considered the level of 141.90, upon reaching which we expect a rollback downwards.

The short-term downward movement is possible in the range of 137.49 - 136.81 and the breakdown of the latter value will lead to an in-depth correction. Here, the goal is 135.70 and this level is the key support for the top.

The main trend is the ascending structure of January 3.

Trading recommendations:

Buy: 139.55 Take profit: 140.50

Buy: 140.55 Take profit: 141.60

Sell: 137.45 Take profit: 136.85

Sell: 136.75 Take profit: 136.00

The material has been provided by InstaForex Company - www.instaforex.com