Large-scale graphics:
Since February last year, a rising wave has been formed on the franc major chart. The first 2 parts of the wave (A-B) are fully completed. Since September, the wave zigzag of the final part (C) develops.
Medium scale graphics:
From November 13, the price of the pair moves down, forming a correctional part (B) in a larger wave. Quotes are approaching at the upper boundary of the preliminary target zone.
Small-scale graphics:
From December 28, an upward wave zigzag began to form on the chart, which over time could become a reversal pattern.
Forecast and recommendations:
The upcoming weekly period may be the final for the current decline. Sales have little potential. When the price reaches the settlement support, you should pay attention to the reversal signals to search for entry into long trades.
Resistance zones:
- 0.9950 / 1.0000
Support areas:
- 0.9760 / 0.9710
Explanations for the figures: The simplified wave analysis uses waves consisting of 3 parts (A – B – C). For analysis, 3 consecutive graphs are used. Each of them 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, the dotted - the expected movement.
Attention: 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