Wave pattern of the H4 chart:
The price movement on this scale is headed south in the direction of the dominant trend of the daily timeframe. The counter movement in the previous month does not go beyond the correction.
Wave pattern of the H1 chart:
The rising wave from August 15 reached the lower limit of a wide zone of resistance on a large scale. The decline that has begun further forms the middle part of the structure (B).
Wave pattern of the M15 chart:
The wave level of the bearish wave of September 21 is approaching the M30 chart.
Recommended trading strategy:
Short-term reduction sales can be used when trading at lower timeframes. For longer transactions, you need to wait for the current decline to complete and track the buy signals.
Resistance zones:
- 150.00 / 150.50
Support areas:
- 145.60 / 145.10
Explanations of the figures:
A simplified wave analysis uses a simple waveform, in the form of a 3-part zigzag (A-B-C). Three main timeframes are used for the analysis. The last incomplete wave for every timeframe is analyzed. Zones show the calculated areas with the greatest probability of a reversal.
Arrows indicate the counting of wave according to the technique used by the author. The solid background shows the generated structure and the dotted exhibits the expected wave motion.
Note: The wave algorithm does not take into account the duration of the tool movements in time. To conduct a trade transaction, you need to confirm the signals used by your trading systems.
The material has been provided by InstaForex Company - www.instaforex.com