Simplified wave analysis of EUR / JPY for January 25

Large-scale graphics:

The wave of the bearish trend from February last year set the main direction of the cross trend. The structure has now been completed, the proportions of all parts of the wave have been achieved.

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Medium scale graphics:

From mid-September, the price completes the downward wave of the older TF. The price is within the boundaries of a strong support zone. High probability of changing the course of the entire short-term trend.

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Small-scale graphics:

The rising wave of January 3 forms the final part in models of several time scales at once. In the upcoming weekly period, the end of the current correctional phase (B) and the beginning of active price growth (C) are expected.

Forecast and recommendations:

In the coming weeks, sales of the tool will be hopeless. At the end of corrective declines, it is recommended to track long entry signals.

Resistance zones:

- 125.20 / 125.80

Support areas:

- 123.30 / 122.80

Explanatory notes 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!

The material has been provided by InstaForex Company - www.instaforex.com