Wave pattern on the H4 chart:
The general direction of the cross on the short-term trend is set by the rising wave of May 29. The structure of the wave lacks the final part (C).
Wave pattern on the H1 chart:
The bearish wave of September 21 corrected the trend section in a larger wave model. The wave is fully formed and the price has reached the settlement zone of completion.
Wave pattern on the M15 chart:
From October 26, a bullish wave is formed, which has a turning potential. Over time, the entire movement will move to a larger scale.
Recommended trading strategy:
Sales of the pair are unpromising for the near future. The recommendation to track long entry signals for all trading styles remains in effect.
Resistance zones:
- 131.70 / 132.20
- 129.70 / 130.20
Support areas:
- 128.10 / 127.60
Explanations of the figures:
The simplified wave analysis uses waves consisting of 3 parts (A – B – C). For the analysis, three main TFs are used. On every last part, the incomplete wave is analyzed. 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 while the dotted shows the expected movement.
Note: The wave algorithm doesn't take into account the duration of tool movements over time. To trade a trade transaction, you need to confirm your trading systems!
The material has been provided by InstaForex Company - www.instaforex.com