GBP / USD
Analysis:
The direction of the price movement of the British pound since mid-December indicates the "downside" of the chart. Throughout January, the price formed a correction in the form of a horizontal plane. Yesterday's depreciation has a reversal potential. This may mean the completion of the correctional part and the beginning of the final phase of the main wave.
Forecast:
Today, the decline that began yesterday is expected to continue. In the morning, a stop is possible. The resumption of weakening is likely towards the end of the day. Estimated support demonstrates the upper limit of the strong zone of the potential reversal of a large time frame.
Potential reversal zones
Resistance:
- 1.3030 / 1.3060
Support:
- 1.2940 / 1.2910
Recommendations:
Purchases of the pound today may result in losses. Thus, it is recommended to track all emerging signals of your impulse for the sale of a pair.
USD / JPY
Analysis:
In the ascending wave dominating since last August, the last trend section started on January 8. The wave has been corrected in the last 2 weeks. At the price of a pair, the level of the minimum possible elongation is reached.
Forecast:
The ascending section that began yesterday may be the beginning of a reversal structure, with a change in the direction of the short-term trend of the pair. Today, there is a high probability of price movement in the side range between the nearest oncoming zones. After resistance is reached, a change of course and a start of decline is expected by the end of the day.
Potential reversal zones
Resistance:
- 109.10 / 109.40
Support:
- 108.30 / 108.00
Recommendations:
Trading on the yen market is only possible within trading sessions today. The buying potential is limited by resistance while sales may be more promising.
Explanations: In the simplified wave analysis (UVA), the waves consist of 3 parts (A-B-C). The last unfinished wave is analyzed. At the same time, the solid background of the arrows shows the formed structure while the dotted background shows the expected movement.
Note: The wave algorithm does not take into account the duration of tool movements in time!
