Large-scale graph:
The vector of the "Aussie" price movement main direction from the end of January indicates a bearish wave. The structure of the movement does not show completeness. A preliminary analysis allows us to expect at least 4 more price patterns down.
Medium-scale graph:
Since the beginning of October, price fluctuations have formed a rising wave on the chart, which has taken the place of correction in the main trend. The subsequent decline has not yet gained enough wave level to change the direction of the current rise.
Small-scale graph:
The started decrease can become both a reversal pattern and an internal correction of the wave at the current hour. The price is in the range of support and the upcoming price hike will clarify the upcoming scenario.
Forecast and recommendations:
To clarify the current wave pattern trading is not recommended. When confirming a change of course, reversal signals should be monitored in the area of the resistance zone.
Resistance zones:
- 0.7300 / 0.7350
Support areas:
- 0.7200 / 0.7150
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 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