The direction of the short-term trend of the Japanese currency is set by the algorithm of the last, incomplete wave design for today. The bull wave started 2 months ago and by the current day is approaching the end of the middle correction part (B). The local minimum reached the day before yesterday coincides with the preliminary calculated level, where it is already possible to complete the decline. At the time of the analysis of the signals, the reversal was not formed. This indicates a high probability of further extension of the bearish wave.
Today, in the morning, the pair is expected to grow. In the framework of the calculated resistance zone, one can then count on a change in the rate and the beginning of a decline. The active part of the descending phase of motion is more likely at the end of the day or tomorrow.
Boundaries of the resistance zone:
- 111.10 / 40
Boundaries of the support zone:
- 110.20 / 109.90
Explanations to the figures: For simplified wave analysis, a simple type of wave is used that combines 3 parts (A; B; C). Of such waves, all kinds of correction are composed and most of the impulses. On each considered time-frame the last, incomplete wave is analyzed.
The zones marked on the graphs are indicated by the calculation areas in which the probability of a change in the direction of motion is significantly increased. Arrows indicate the wave counting according to the technique used by the author. The solid background of the arrows indicates the structure formed, the dotted one indicates the expected wave motion.
Note: The wave algorithm does not take into account the duration of the tool movements in time. The forecast is not a trading signal! To conduct a transaction, you need to confirm the signals used by your trading systems.
