Large-scale graphics:
In the ascending wave of the cross, which began in mid-April last year, there were some structural changes. The descending section that began at the end of the year, instead of the intermediate adjustment of the last part (C), took the place of full correction of the whole wave (B).
Medium scale graphics:
The direction of the short-term trend is set by the bearish wave of December 10th. The current wave level allows us to assign its scale to the TF H4.
Small-scale graphics:
A downward stretch of January 3 completes a larger wave model. The price is approaching the lower boundary of the powerful zone of support for the older TF, however, the reversal signals are still not observed.
Forecast and recommendations:
Based on the wave formation algorithm, the current decline will soon have to be replaced by the beginning of an upturn. No reversal signals on the chart have been observed so far, so it is recommended that traders refrain from trading deals until the wave pattern is cleared.
Resistance zones:
- 0.8930 / 0.8980
Support areas:
- 0.8630 / 0.8580
Explanations for the figures: The simplified wave analysis uses waves consisting of 3 parts (A – B – C). The analysis uses 3 consecutive scale graph. Each of them analyzes the last, incomplete wave. Zones show calculated areas with the highest probability of reversal. The arrows indicate the wave marking by the method used by the author. The solid background shows the formed structure, the dotted - the expected movement.
Note: The wave algorithm does not take into account the duration of tool movements over time. To conduct a trade transaction, you need confirmation signals from the trading systems you use!
