FX.co ★ Fractal analysis of major currency pairs on February 23

Outlook on February 23:

Analytical review of popular currency pairs on the hourly chart:

The key levels for the EUR/USD pair are 1.2315, 1.2276, 1.2237, 1.2220, 1.2190, 1.2144, 1.2116 and 1.2084. The price has been moving in an upward trend since February 17. We expect it to continue rising after the level of 1.2190 is broken. The target is set at 1.2220. The price breaking through the 1.2220 - 1.2237 range will allow us to move to the next target of 1.2276. The final potential upward target is 1.2315. After reaching this level, the price may consolidate and pullback downwards.

A short-term decline, in turn, can be expected in the 1.2144 - 1.2116 range. If the level of 1.2116 is broken, a deep correction will occur. The target is seen at 1.2084, which is also the key support level.

The main trend is the upward trend from February 17.

Trading recommendations:

Buy: 1.2190 Take profit: 1.2220

Buy: 1.2238 Take profit: 1.2276

Sell: 1.2144 Take profit: 1.2118

Sell: 1.2115 Take profit: 1.2085

The key levels for the GBP/USD pair are 1.4214, 1.4155, 1.4108, 1.4042, 1.3992, 1.3925 and 1.3826. The price has been rising since February 17. So, we expect a short-term growth in the range of 1.4108 - 1.4155. Once the last value is broken, a strong increase will follow towards the potential target of 1.4214. After reaching this level, a downward pullback can be expected.

On the other hand, a short-term decline is expected in the 1.4042 - 1.3992 range. If the last value is broken, a deep correction will occur. The target is set at 1.3925.

The main trend is the upward trend from February 4, local upward potential from February 17.

Trading recommendations:

Buy: 1.4108 Take profit: 1.4155

Buy: 1.4156 Take profit: 1.4214

Sell: 1.4042 Take profit: 1.3993

Sell: 1.3990 Take profit: 1.3925

The key levels for the USD/CHF pair are 0.9121, 0.9084, 0.9064, 0.9024, 0.8993, 0.8974, 0.8962 and 0.8933. The price considers the trend from February 16 as a mid-term initial condition. Now, we expect a short-term growth in the 0.8993 - 0.9024 range. This upward trend will extend if the price manages to break through the level of 0.9024. If so, the target will be set at 0.9064. This can be followed by a short-term growth and consolidation in the range of 0.9064 - 0.9084. The final potential upward target is set at 0.9121. The price may make a downward pullback after reaching this level.

The price is expected to make a consolidation in the range 0.8974 - 0.8962. Once the level of 0.8962 is broken, a deep correction will follow. The target is set at 0.8933, which is also the key support level.

The main trend is the upward trend from February 16.

Trading recommendations:

Buy: 0.8995 Take profit: 0.9022

Buy: 0.9026 Take profit: 0.9064

Sell: 0.8962 Take profit: 0.8935

Sell: 0.8933 Take profit: 0.8895

The key levels for the USD/JPY are 106.23, 105.86, 105.48, 105.28, 104.88, 104.66, 104.34, 104.21 and 103.88. The price has been moving in a bearish trend since February 17. Therefore, we expect a short-term decline to happen in the 104.88 -104.66 range. If the last value is broken, a deep correction will occur. The target is set at 104.34. The price may consolidate near this level, that is, in the range of 104.34 - 104.21. The final potential downward target is 103.88. After this level is reached, the price may pullback upwards.

A short-term growth, on the contrary, is possible in the 105.28 - 105.48 range. If the level of 105.48 is broken, a deep correction can be expected. The target is 105.86, which is also the key support level.

The main trend is the downward trend from February 17.

Trading recommendations:

Buy: 105.48 Take profit: 105.84

Buy: 105.88 Take profit: 106.23

Sell: 104.88 Take profit: 104.67

Sell: 104.64 Take profit: 104.35

The key levels for the USD/CAD pair are 1.2740, 1.2672, 1.2643, 1.2581, 1.2539, 1.2482, 1.2456 and 1.2408. The price has been moving down since February 17. In this case, we expect it to further decline after the breakdown of the level of 1.2581. After that, it can move to the target of 1.2539. The price may consolidate around this level. If this target is broken, the strong decline will resume to the target of 1.2482. A price consolidation will follow in the 1.2482 - 1.2456 range. The final potential downward target is 1.2408. After reaching this level, an upward pullback may occur.

A short-term growth, in turn, is possible in the 1.2643 - 1.2672 range. Once the level of 1.2672 is broken, the upward trend may develop. The potential target is set at 1.2740.

The main trend is a downward trend from January 28, a local downward trend from February 17.

Trading recommendations:

Buy: 1.2643 Take profit: 1.2671

Buy: 1.2674 Take profit: 1.2740

Sell: 1.2580 Take profit: 1.2542

Sell: 1.2537 Take profit: 1.2482

The key levels for the AUD/USD pair are 0.8017, 0.7993, 0.7955, 0.7907, 0.7848, 0.7811 and 0.7758. The price has been moving in an upward trend since February 2. This trend will further extend after the level of 0.7907 is broken. The target is set at 0.7955. Once this target is broken, the price may continue the upward movement to the potential target of 0.8017 and consolidate near this level.

A short-term decline is possible in the range of 0.7848 - 0.7811. If the last value is broken, a deep correction may occur. The target is set at 0.7758, which is also the key upward support level.

The main trend is the upward trend from February 2.

Trading recommendations:

Buy: 0.7908 Take profit: 0.7954

Buy: 0.7956 Take profit: 0.7993

Sell: 0.7848 Take profit: 0.7812

Sell: 0.7808 Take profit: 0.7760

The key levels for the EUR/JPY pair are 129.40, 129.10, 128.82, 128.47, 128.26, 127.58, 127.23, 126.99 and 126.55. The price, which has been moving upward since February 4, has formed a local trend for the upward trend from February 17. We expect growth to resume after the price breaks through the 128.26 - 128.47 range. In such a case, the target is set at 128.82. Meanwhile, a short-term growth and consolidation is possible in the range of 128.82 - 129.10. The final potential upward target is 129.40. After reaching this level, a downward pullback can be expected.

The upward key support level is 127.58. A breakout of this level will further develop the downward trend. If it happens, the target will be set at 127.23. The price may consolidate in the range of 127.23 - 126.99. The final potential downward target is the 126.55 level. After reaching this level, an upward pullback may occur.

The main trend is an upward trend from February 4, local trend from February 17.

Trading recommendations:

Buy: 128.48 Take profit: 128.82

Buy: 128.84 Take profit: 129.10

Sell: 127.58 Take profit: 127.23

Sell: 126.97 Take profit: 126.55

The key levels for the GBP/JPY pair are 150.26, 149.55, 149.15, 148.15, 147.04, 146.42, 145.66 and 145.11. The price has been moving in an upward trend starting from February 4. The indicated trend will continue if the price manages to break through the 148.15 mark. In such a case, the target is set at 149.15. The price may consolidate in the 149.15 - 149.55 range. The final upward target is the level 150.26. After reaching which, a downward pullback may occur.

Alternatively, a short-term decline is expected in the 147.04 - 146.42 range. A breakout of 146.42 will result in a deep correction. The target is set at 145.66. The key support level is in the range of 145.66 - 145.11.

The main trend is the upward trend from January 18, the local upward trend from February 4.

Trading recommendations:

Buy: 148.16 Take profit: 149.15

Buy: 149.55 Take profit: 150.26

Sell: 147.04 Take profit: 146.43

Sell: 146.40 Take profit: 145.66