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Simplified wave analysis of EUR / USD pair for the week of January 14

Large-scale graph:

The vector of the main trend in the euro major pair since January last year is directed downward. The first 2 parts are completed in the wave structure and the final phase (C) has started since the end of September.

V-UpZtkXyWa0YrA0cO3MNXI9Z0_hWQpNktqrkXgc

Medium-scale graph:

The ascending section of the chart on November 12 had a flat character of the movement. In a larger wave, it takes the place of correction (B).

OFtEwMwWT_Zy5UUWNx4N9iELyrFU0XubTQ9Fr7CP

Small-scale graph:

The rising wave of January 3 is at the end of a bullish corrective pattern. The price has reached the minimum level necessary to end but the wave structure does not show completeness.

Forecast and recommendations:

The probability of extending the current wave to the next calculated resistance zone is high. Until a clear reversal signal is received, sales can be very risky. Short-term purchases are possible as part of the Intraday.

Resistance zones:

- 1.1570 / 1.1620

- 1.1720 / 1.1770

Support areas:

- 1.1460 / 1.1410

Explanations of the figures:

The simplified wave analysis uses waves consisting of 3 parts (A – B – C). Three consecutive graphs are used for analysis. Each of these 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 and the dotted exhibits 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