Fractal analysis for major currency pairs as of May 16

Dear colleagues.

For a pair of EUR / USD pair, we follow the formation of the downward structure of May 14. For the GBP / USD pair, the price formalized the local structure for the bottom of May 14. For the USD / CHF pair, the situation is in an equilibrium state. We expect the cancellation of the downward structure after the breakdown at 1.0042. For the USD / JPY pair, the continuation of the upward movement is expected after the breakdown of 110.66. For the EUR / JPY pair, we follow the formation of the upward structure from May 8. We expect the continuation of the movement after the breakdown of 131.00. For the GBP / JPY pair, the development of the upward potential of May 8 is expected after the breakdown of the level of 149.30.

The forecast for May 16:

Analytical review of currency pairs in the scale of H1:

analytics5afbaaeedf99d.png

For the EUR / USD pair, the key levels on the scale of H1 are: 1.1995, 1.1928, 1.1889, 1.1862, 1.1807, 1.1751 and 1.1684. Here, the price canceled the development of the upward structure and at the current moment, it has designed a local structure for the downward movement of May 14. The continuation of the downward movement is expected after the breakdown of 1.1807. In this case, the target is 1.1751. Near this level is the consolidation of the price. The potential value for the bottom is the level of 1.1684. Upon reaching this level, we expect a rollback to the top.

Short-term upward movement is possible in the area of 1.1862 - 1.1889. The breakdown of the last value will lead to in-depth correction. Here, the target is 1.1928. This level is the key support for the downward structure from May 14.

The main trend is the local structure for the bottom of May 14.

Trading recommendations:

Buy: 1.1862 Take profit: 1.1887

Buy 1.1892 Take profit: 1.1925

Sell: 1.1805 Take profit: 1.1755

Sell: 1.1748 Take profit: 1.1688

analytics5afbaafd7366a.png

For the GBP / USD pair, the key levels on the H1 scale are 1.3608, 1.3564, 1.3529, 1.3445, 1.3412, 1.3388, 1.3326 and 1.3285. Here, the price forms the potential for continuing the downward movement from May 14. The continuation of the development of the downward structure is expected after the breakdown of 1.3445. In this case, the target is 1.3412. Near this level is the consolidation of the price. Passing the price of the noise range at 1.3412 - 1.3388 should be accompanied by a pronounced movement towards the level of 1.3326. The potential value for the bottom is the level of 1.3285. After this level, we expect consolidation as well as a rollback to the top.

Short-term upward movement is possible in the area of 1.3529 - 1.3564. The breakdown of the last value will lead to the formation of an upward structure. Here, the potential target is 1.3608.

The main trend is the formation of a local structure for the downward movement of May 14.

Trading recommendations:

Buy: 1.3530 Take profit: 1.3562

Buy: 1.3565 Take profit: 1.3607

Sell: 1.3445 Take profit: 1.3412

Sell: 1.3386 Take profit: 1.3328

analytics5afbab0b10cfc.png

For the USD / CHF pair, the key levels on the scale of H1 are: 1.0083, 1.0067, 1.0042, 1.0022, 0.9993, 0.9979, 0.9955, 0.9933 and 0.9910. Here, the price is in an equilibrium state: the downward structure of May 10 and the formation of the potential for the top of May 14. The continuation of the development of the upward structure is expected after the breakdown of 1.0022. In this case, the target is 1.0042. Near this level is the consolidation of the price. The breakdown of the level of 1.0042 will lead to the cancellation of the downward structure from May 10. In this case, the target is 1.0067. The potential value for the top is the level of 1.0083. After this level, we expect a pullback downwards.

Short-term downward movement is possible in the area of 0.9993 - 0.9979. The breakdown of the last value will lead to the development of the downward structure from May 10. In this case, the first target is 0.9955.

The main trend is in the equilibrium state.

Trading recommendations:

Buy: 1.0022 Take profit: 1.0040

Buy: 1.0044 Take profit: 1.0065

Sell: 0.9991 Take profit: 0.9980

Sell: 0.9977 Take profit: 0.9960

analytics5afbab1925119.png

For the USD / JPY pair, the key levels on a scale are: 111.38, 110.96, 110.66, 110.09, 109.87 and 109.55. Here, we follow the development of the upward structure of May 4. The continuation of the upward movement is expected after the breakdown of 110.66. In this case, the first target is 110.96. Near this level is the consolidation of the price. The potential value for the top is the level of 111.38. Upon reaching this level, we expect a pullback downwards.

Short-term downward movement is possible in the area of 110.09 - 109.87. The breakdown of the last value will lead to in-depth correction. Here, the target is 109.55. This level is the key support for the top.

The main trend is the upward structure of May 4.

Trading recommendations:

Buy: 110.66 Take profit: 110.94

Buy: 110.98 Take profit: 111.36

Sell: 110.09 Take profit: 109.90

Sell: 109.85 Take profit: 109.60

analytics5afbab26a70eb.png

For the CAD / USD pair, the key H1 scale levels are: 1.3070, 1.2994, 1.2971, 1.2934, 1.2889, 1.2839, 1.2801, 1.2776 and 1.2726. Here, after the end of the downward initial conditions, we follow the formation of the upward structure of May 11. The continuation of the upward movement is expected after the breakdown of 1.2890. In this case, the target is 1.2934. Near this level is the consolidation of the price. The breakdown at the level of 1.2936 will allow us to count on the movement towards 1.2971. Near this level, we expect the consolidation of the price. Passing the price of the noise range at 1.2971 - 1.2994 should be accompanied by a pronounced upward movement. Here, the target is 1.3070.

We expect the correction to continue after the breakdown at 1.2839. Here, the target is 1.2801. The range of 1.2801 - 1.2776 is the key support for the upward structure of May 11. Passing the price will lead to the development of the downward structure. In this case, the target is 1.2726.

The main trend is the formation of the upward structure of May 11.

Trading recommendations:

Buy: 1.2890 Take profit: 1.2832

Buy: 1.2836 Take profit: 1.2970

Sell: 1.2837 Take profit: 1.2801

Sell: 1.2774 Take profit: 1.2728

analytics5afbab32a5f63.png

For the AUD / USD pair, the key H1 scale levels are: 0.7563, 0.7537, 0.7508, 0.7486, 0.7441, 0.7408, 0.7359 and 0.7330. Here, after the lifting of the upward potential formation, we follow the formation of the downward structure from May 14. Short-term downward movement is expected in the area of 0.7441 - 0.7408. The breakdown of the latter value will lead to the development of a pronounced movement. Here, the target is 0.7359. The potential value for the top is the level of 0.7330. Upon reaching this level, we expect a rollback to the top.

Short-term upward movement is possible in the area of 0.7486 - 0.7508. The breakdown of the last value will lead to in-depth correction. Here, the target is 0.7537. This level is the key support for the downward structure. Its breakdown will lead to the formation of the initial conditions for the upward cycle.

The main trend is the formation of a downward structure from May 14.

Trading recommendations:

Buy: 0.7486 Take profit: 0.7506

Buy: 0.7510 Take profit: 0.7535

Sell: 0.7440 Take profit: 0.7410

Sell: 0.7406 Take profit: 0.7360

analytics5afbab3edba1e.png

For the EUR / JPY pair, the key levels on the scale of H1 are: 132.26, 131.78, 131.40, 130.98, 130.35, 130.02, 129.61 and 129.18. Here, we follow the formation of the upward structure of May 8. The continuation of the upward movement is expected after the breakdown of 130.98. In this case, the target is 131.40. In the area of 131.40 - 131.78 is short-term upward movement and also the consolidation of the price. The potential value for the top is the level of 132.26. From this level, we expect a pullback downwards.

Short-term downward movement is possible in the area of 130.35 - 130.02. The breakdown of the last value will lead to in-depth correction. Here, the target is 129.61. This level is the key support for the upward structure. Its breakdown will lead to a downward structure. Here, the potential target is 129.18.

The main trend is the formation of the upward structure of May 8.

Trading recommendations:

Buy: 131.00 Take profit: 131.40

Buy: 131.42 Take profit: 131.75

Sell: 130.35 Take profit: 130.07

Sell: 130.00 Take profit: 129.65

analytics5afbab4a58f76.png

For the GBP / JPY pair, the key levels on the scale of H1 are: 151.36, 150.81, 150.01, 149.29, 148.35, 147.84, 147.00, 145.75 and 145.12. Here, we follow the formation of the upward structure from May 8 in correction from the downward structure. The continuation of the upward movement is expected after the breakdown at 149.30. In this case, the target is 150.01. Near this level is the consolidation of the price. The breakdown at the level of 150.01 should be accompanied by a pronounced upward movement. Here, the target is 150.81. In the area of 150.81 - 151.36 is the consolidation of the price.

Short-term downward movement is possible in the area of 148.35 - 147.84. The breakdown of the last value will lead to the development of the a downward structure. In this case, the target is 147.00. Near this level is the consolidation of the price. The breakdown of 147.00 should be accompanied by a pronounced movement towards the potential target of 145.75.

The main trend is the formation of the potential for the top of May 8.

Trading recommendations:

Buy: 149.30 Take profit: 150.00

Buy: 150.05 Take profit: 150.80

Sell: 148.35 Take profit: 147.85

Sell: 147.80 Take profit: 147.00

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