EUR/USD
The trend direction on the short-term chart of the euro since March 20 looks at the "south". In the wave structure, the first 2 parts are fully formed (A + B). From May 1, the first part of the bearish reversal structure develops. The price is located at the lower edge of a wide area of potential large-scale reversal. There are no reversal signals on the chart yet.
Forecast:
Today, it is expected to maintain the overall flat mood of movements. In the first half of the day, the probability of repeated pressure on the resistance zone remains. Before changing the course of the intersessional trend, a short-term price jerk is not excluded. The nearest support will limit the size of the daily move down.
Recommendations:
Purchases of European pairs today are very risky, they can only be used when "scalping". It is recommended to refrain from trading on the euro until clear reversal signals appear. The turnaround time is often correlated with the release of news blocks.
Resistance zones:
- 1.1250 / 1.1280
Support zones:
- 1.1180 / 1.1150
- 1.1090 / 1.1060
GBP/USD
The pound chart is dominated by a bearish wave. Its last section started on May 3, it completes a larger structure. The price has reached a fairly strong support level with TF D1.
Forecast:
From the current zone, there is a high probability of the beginning of the counter correction, at least in the form of a flat. The duration of this phase of the movement can be quite long.
Recommendations:
There are no conditions for selling the pound today. Supporters of intra-session trading can use short-term purchases of the pair, while the lot used is more reasonable to reduce. In the area of the calculated resistance, it is recommended to monitor the signals of the instrument sale.
Resistance zones:
- 1.3010 / 1.3040
Support zones:
- 1.2950 / 1.2920
Explanations to the figures: Waves in the simplified wave analysis consist of 3 parts (A – B – C). The last unfinished wave is analyzed. Zones show areas with the highest probability of reversal. The arrows indicate the wave marking according to the method used by the author, the solid background is the formed structure, the dotted ones are the expected movements.
Note: The wave algorithm does not take into account the duration of tool movements over time.
The material has been provided by InstaForex Company - www.instaforex.com