04.01.202112:19 Forex Analysis & Reviews: Technical analysis for EUR/USD pair for January 2021

Trend analysis

In January, the continuation of the upward movement is possible to the first target, namely the upper fractal of 1.2553 (blue dotted line) – monthly candlestick from 01/02/2018. If this level is broken upwards, the next upper target will be 1.2803 – the historical resistance level (blue dotted line).

Figure 1 (monthly chart)

• Indicator analysis:
• Indicator analysis - up
• Fibonacci levels - up
• Volumes - up;
• Candlestick analysis - up
• Trend analysis - up
• Bollinger lines - up

A possible upward movement can be concluded based on complex analysis.

The overall result of the candlestick calculation based on the monthly chart: the price will most likely have an upward trend, with the first lower shadow (first week of the month – bottom) in the monthly white candlestick and without the second upper shadow (last week – white).

General scenario: the price from the level of 1.2216 (closing of the December monthly candlestick) can continue to rise to the first target of 1.2554 (blue dotted line) – upper fractal (monthly candle from 01/02/2018). In case that this level is broken upwards, the next upper target will be 1.2803 – the historical resistance level (blue dotted line).

An unlikely scenario: a downward movement from the level of 1.2281 (closing of the December monthly candlestick) to the target of 1.2067 – a pullback level of 14.6% (red dotted line) is unlikely.