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Simple wave analysis and forecast for GBP/USD, USD/JPY, USD/CHF, GOLD for May 5, 2021

GBP/USD

Analysis:

On the chart, the wave pattern is incomplete and indicates the downward trend. The wave pattern has been forming since the end of February. Wave C has been developing since April 20. A correction started within this wave last Friday. It has not ended yet.

Forecast:

During the upcoming session, a downward trend is likely. By the end of the trading day, the trend may reverse and the price may rise to the resistance zone.

Potential reversal zones

Resistance:

- 1.3950/1.3980

Support:

- 1.3860/1.3830

Today, GBP/USD can be traded with smaller lot sizes and in terms of separate sessions. Long positions can be considered from the support zoneanalytics60925e9a5cbf0.jpg

USD/JPY

Analysis:

The short-term upward trend of USD/JPY has been developing since the beginning of the year. The price is approaching the lower border of the intermediate zone.

Forecast:

Today, the pair is expected to move sideways. In the first half of the day, the upward trend is likely. By the end of the day, the price may reverse form the resistance zone and the downward trend may start.

Potential reversal zones

Resistance:

- 109.60/109.90

Support:

- 109.00/108.70

The USD/JPY can be traded intraday with a smaller lot size. Positions should be closed once there is a reversal signal.

analytics60925ea48cae6.jpg

USD/CHF

Analysis:

The trend has been bullish since January 6. Last month, a correction occurred. At the moment of writing, the price reversed upwards.

Forecast:

The bullish trend is expected to reverse during the upcoming sessions.

Potential reversal zones

Resistance:

- 0.9170/0.9200

Support:

- 0.9100/0.9070

Today, traders should refrain from entering the market until the upward trend stops. In the resistance zone, it is worth looking for a sell signal.

analytics60925eaf16573.jpg

GOLD

Analysis:

According to the chart, there is a bearish trend. The price has been moving sideways over the last couple of months.

Forecast:

The price is likely to move sideways along the support zone. By the end of the day, or tomorrow, the price may reverse and attempt to rise. The resistance zone is located near the lower border of a potentially strong reversal zone.

Potential reversal zones

Resistance:

- 1815.0/1820.0

Support:

- 1775.0/1770.0

There are no conditions for entering short positions today. Traders should monitor the emerging reversal signals to buy the instrument. The upside potential is limited by the resistance zone.

analytics60925eb894a16.jpg

Note: In simple wave analysis, we review a three-wave pattern labeled A-B-C and analyze the last incomplete wave. Straight arrows show the complete wave structure, while dashed lines show the expected movements.

Warning: The wave pattern does not take into account the duration of the instrument's movements in time!

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