USD/JPY
Analysis:
The downward wave from June 5 that sets the main course for the short-term trend completes the wave of the largest scale. Judging by the wave structure, since August 3, a reversal model has formed on the chart, which can become the beginning of the final section C. The price is at the lower border of the potential reversal zone.
Forecast:
In the coming day, we expect the end of the upward movement, the formation of a reversal and the beginning of the price move down. The calculated zones show the expected limits of the daily course of the pair.
Potential reversal zones
Resistance:
- 106.90/107.20
Support:
- 106.30/106.00
Recommendations:
Trading the yen on the market today is only possible within the intraday with a reduced lot. Because of the limited growth potential, purchases are risky. After the appearance of reversal signals, sales are safer.
GBP/JPY
Analysis:
The last wave of the pair, which is relevant for short-term analysis, is ascending. It started on March 18. Since June 8, the price has been forming a correction in the form of a horizontal plane. By now, the cross price has reached the lower border of the preliminary target zone, forming the middle part (B).
Forecast:
In the coming day, the end of the flat mood is expected and the beginning of a decline. When changing the course, a short-term puncture of the upper limit of the resistance zone is not excluded. The downward movement of the price may take an impulse form. A break through the lower border of the support zone is unlikely today.
Potential reversal zones
Resistance:
- 139.30/139.60
Support:
- 138.00/137.70
Recommendations:
In the current cross market, trading can be very risky. After the appearance of clear signals for a reversal, sales of the instrument are recommended.
Explanation: In the simplified wave analysis (UVA), waves consist of 3 parts (A-B-C). The last incomplete wave is analyzed. The solid background of arrows shows the formed structure, and the dotted ones show the expected movements.
Note: The wave algorithm does not take into account the duration of the tool movements in time!
