The weekly chart shows that the price of the currency pair EUR/USD rebounded from the supporting zone between levels 1.0400 and 1.0450 and formed the bullish engulfing at the end of the last trading week. Now, the bulls seized the initiative. The market sentiment is likely to change, and the price of this currency pair might potentially rise. Also, the weekly chart demonstrates a wide price range, and the price of the currency pair EUR/USD remains at its lower boundary.

The daily time frame shows the potential for price correction toward the middle point of weekly engulfing. Should the asset’s price undergo correction, it might rebound, rise, and form a small reversal pattern such as the inverse head and shoulders. This can be better seen in the 4-hour time frame. However, if the bears manage to seize the initiative, the price of this asset can also temporarily drop to the level of 1.0400, and then only rebound and rise. So, let’s wait and see whether this scenario is going to work out.

The price of the currency pair NZD/USD retested the supporting zone formed between levels 0.5774 and 0.5852. However, the buyers have managed to seize the initiative. The price of this asset formed engulfing at the end of the trading week. This may signify the upcoming bullish market sentiment and send New Zealand dollar North. So, let’s wait and see what is going to happen next.

The price of the currency pair USD/JPY rebounded from the broken uptrend and dived under the key horizontal level of 151.90. Also, please note that the last candlestick has formed a very strong bearish engulfing, which can strengthen the bearish market sentiment. The price of this currency pair might potentially target the supporting level of 140.25 and head South. Let’s wait for the next price movement of Japanese yen to forecast the upcoming trend.