FX.co ★ Fractal analysis of major currency pairs on May 5, 2021

Outlook on May 5:

Analysis of popular currency pairs on the hourly (H1) chart:

The key levels for the EUR/USD pair are 1.2086, 1.2066, 1.2032, 1.1996, 1.1967, 1.1915 and 1.1874. The price has been moving in a bearish trend since April 29. Thus, we expect a short-term decline in the 1.1996 - 1.1967 range. If the last value is broken, strong decline will continue to the next target of 1.1915. The final potential downward target is 1.1874. After reaching this level, an upward pullback is possible.

In turn, a short-term growth is likely in the range of 1.2032 - 1.2066. The key support is the range of 1.2066 - 1.2086.

The main trend is the downward trend from April 29.

Trading recommendations:

Buy: 1.2032 Take profit: 1.2064

Buy: 1.2067 Take profit: 1.2086

Sell: 1.1996 Take profit: 1.1968

Sell: 1.1965 Take profit: 1.1917

The key levels for the GBP/USD pair are 1.4070, 1.4030, 1.4008, 1.3961, 1.3929, 1.3866, 1.3848, 1.3829 and 1.3800. The price has been following the formation of the upward trend from April 30. We expect this trend to extend after the level of 1.3929 is broken. The target is set at 1.3961 and the price may consolidate within it. If this target is broken, strong growth will continue to the next target of 1.4008. After that, a short-term growth and consolidation may occur in the range of 1.4008 - 1.4030. The ultimate potential upward target is 1.4070. After reaching it, a downward pullback is possible.

A short-term decline is possible in the range of 1.3866 - 1.3848. If the last value is broken, a deep correction will follow. The target is set at 1.3829, which is the key support level.

The main trend is the upward trend from April 30.

Trading recommendations:

Buy: 1.3929 Take profit: 1.3960

Buy: 1.3963 Take profit: 1.4008

Sell: 1.3848 Take profit: 1.3831

Sell: 1.3828 Take profit: 1.3800

The key levels for the USD/CHF pair are 0.9226, 0.9209, 0.9182, 0.9163, 0.9138, 0.9115, 0.9076 and 0.9040. The price has been moving in an upward trend since April 29. Here, we expect a short-term growth in the range of 0.9163 - 0.9182. If the latter breaks down, strong movement will continue to the next target of 0.9209. The final potential upward target is set at 0.9226. After reaching it, the price may consolidate and pullback downwards.

Alternatively, a short-term decline can be expected in the range of 0.9138 - 0.9115. The breakdown of the last value will encourage the formation of initial downward conditions. The potential target is set at 0.9076.

The main trend is the formation of an upward trend from April 29.

Trading recommendations:

Buy: 0.9164 Take profit: 0.9180

Buy: 0.9184 Take profit: 0.9209

Sell: 0.9136 Take profit: 0.9120

Sell: 0.9113 Take profit: 0.9080

The key levels for the USD/JPY pair are 110.80, 110.30, 110.08, 109.69, 109.11, 108.90 and 108.51. The price has been moving in a bullish trend since April 23. We expect this trend to resume after the level of 109.70 is broken. The target is set at 110.08. After that, a short-term growth and consolidation may occur in the range of 110.08 - 110.30. The ultimate potential upward target is 110.80. After reaching this level, a downward pullback can be considered.

A short-term decline, on the other hand, is expected in the 109.11 - 108.90 range. If the latter breaks down, this will lead to the development of a downward trend. The potential target is set at 108.51.

The main trend is the upward trend from April 23.

Trading recommendations:

Buy: 109.70 Take profit: 110.08

Buy: 110.10 Take profit: 110.30

Sell: 109.11 Take profit: 108.91

Sell: 108.88 Take profit: 108.54

The key levels for the USD/CAD pair are 1.2436, 1.2383, 1.2341, 1.2280, 1.2251, 1.2190 and 1.2149. The price has been moving in a downward trend since April 21. We expect this trend to continue after the price breaks through the range of 1.2280 - 1.2251. The target is set at 1.2190. The final potential downward target is 1.2149. After reaching this level, the price may consolidate and pullback upwards.

A short-term growth is possible in the range of 1.2341 - 1.2383. If the latter is broken, a deep correction will follow. The target is set at 1.2436.

The main trend is the downward trend from April 21.

Trading recommendations:

Buy: 1.2341 Take profit: 1.2381

Buy: 1.2384 Take profit: 1.2436

Sell: 1.2250 Take profit: 1.2192

Sell: 1.2188 Take profit: 1.2150

The key levels for the AUD/USD pair are 0.7821, 0.7773, 0.7745, 0.7698, 0.7669, 0.7651, 0.7605 and 0.7584. The price has been moving in a downward trend since April 29. We expect this decline to go deeper after the level of 0.7698 is broken. The target is set at 0.7669. After that, the price is likely to consolidate in the 0.7669 - 0.7651 range. If the level of 0.7651 is broken, strong decline will continue to the next target of 0.7605. The final potential downward target is 0.7584. After reaching this level, an upward pullback can be expected.

Meanwhile, a short-term growth is expected in the range of 0.7745 - 0.7773. If the last value is broken, an upward trend may form. The target is set at 0.7821.

The main trend is the formation of a downward trend from April 29.

Trading recommendations:

Buy: 0.7745 Take profit: 0.7771

Buy: 0.7775 Take profit: 0.7820

Sell: 0.7698 Take profit: 0.7670

Sell: 0.7650 Take profit: 0.7607

The key levels for the EUR/JPY pair are 133.14, 132.82, 132.64, 132.17, 131.96, 131.63, 131.18, 130.73 and 130.27. The price has been moving in an upward trend since April 23, but it is currently in a deep correction and forms a strong downward potential from April 29. We expect the upward trend to continue after the level of 131.63 is broken. The first target is 131.96. This can be followed by a short-term growth in the 131.96 - 132.17 range. If the latter breaks down, strong growth will continue to the next target is 132.64. The price may consolidate in the range of 132.64 - 132.82. The ultimate potential upward target is 133.14. The movement to which is expected after the breakdown of 132.82.

Meanwhile, a short-term decline can be expected in the range of 131.18 - 130.73. If the latter breaks down, the downward trend will develop. The potential target is set at 130.27.

The main trend is the upward trend from April 23, deep correction stage.

Trading recommendations:

Buy: 131.65 Take profit: 131.96

Buy: 132.17 Take profit: 132.64

Sell: 131.10 Take profit: 130.80

Sell: 130.70 Take profit: 130.30

The key levels for the GBP/JPY pair are 153.28, 152.65, 152.35, 151.92, 151.46, 151.18 and 150.75. The price has been moving in an upward trend since April 23. We expect this trend to extend after the level of 151.92 is broken. The target is set at 152.35. Afterwards, a short-term growth and consolidation may occur in the range of 152.35 - 152.65. If the level of 152.65 breaks down, strong growth will continue to the potential target of 153.28.

A short-term decline is likely in the 151.46 - 151.18 range. If the latter is broken, a deep correction will occur. The target is set at 150.75.

The main trend is the upward trend from April 23.

Trading recommendations:

Buy: 151.94 Take profit: 152.35

Buy: 152.65 Take profit: 153.28

Sell: 151.46 Take profit: 151.18

Sell: 151.16 Take profit: 150.75