GBP/USD
Analysis:
As a result of a prolonged uptrend, the pound sterling reached the lower limit of a powerful potential reversal zone. The last unfinished section of the trend started on December 21. In its structure, the first parts (A-B) are formed, the final part (C) is developing. Before edging higher, the price needs to enter the correctional phase.
Forecast:
Today the pair is expected to complete the pullback that has been lasting for two days. It is most likely a sideways movement between the nearest oncoming zones. By the end of the day, the pair may try to break through the resistance zone.
Potential reversal zones
Resistance:
- 1.3700/1.3730
Support:
- 1.3620/1.3590
Recommendations:
To open short deals on the pound sterling is risky today. It is recommended to refrain from entering the market during the correction and look for buy signals.
USD/JPY
Analysis:
The wave, which is relevant for the short-term scale of the Japanese yen chart, began on November 9 last year. Since the middle of last month, a counter correction has been developing. Its structure looks complete. The bearish section, which started on January 11, has a reversal potential. It can be the beginning of a new wave.
Analysis:
In the current day, the pair is expected to continue the sideways movement that began the day before yesterday. After the pressure on the support zone, you can expect a reversal and rise to the resistance zone.
Potential reversal zones
Resistance:
- 104.10/104.40
Support:
- 103.50/103.20
Recommendations:
Trading the yen today is possible only within the sessions, with a reduced lot. Ir is recommended to open long deals on the pair.
EUR/JPY
Analysis:
The trajectory of the short-term trend of the euro-yen pair is set by the rising wave from May 7 last year. The final part (C) is formed in the wave structure. Within its framework, a complex horizontal correction has been developing in the last six weeks. The price is at the lower edge of a strong potential reversal zone.
Forecast:
Today, a downward movement is expected, up to the full completion of the current wave. At the end of the day, you can wait for the beginning of a new rise. If the pair rises, a short-term breakthrough of the lower support border is possible.
Potential reversal zones
Resistance:
- 126.20/126.50
Support:
- 125.50/125.20
Recommendations:
Today it is recommended to open short deals in the cross-market with s smaller lot within the sessions. It is necessary to take into account the limited potential of the downward movement. There have been no signals for long deals yet.
Explanation: In simplified wave analysis (UVA), waves consist of 3 parts (A-B-C). The last incomplete wave is analyzed. The background of the arrows demonstrates the formed structure; the dotted ones show the expected movements.
Attention: The wave algorithm does not take into account the duration of the instrument's movements in time!
