Simplified wave analysis for October 16th. GBP/USD: waiting for depreciation; USD/JPY: yen continues to weaken against the dollar; USD/CHF: market unchanged

GBP/USD

Analysis:

In recent months, the direction of the trend of the British pound sets an upward wave. The final stretch started a week ago. To date, the pair's quotes are in the zone of a potential reversal. The wave structure looks complete. The counter section from October 11 has a high wave level.

Forecast:

In the near future, the price of the pair is expected to decrease. This can be a correction within the current wave or the beginning of a counter wave. Today, a flat mood is likely, mainly with a downward vector.

Potential reversal zones

Resistance:

- 1.2720/1.2750

Support:

- 1.2640/1.2610

Recommendations:

Trading the pound today makes sense on small TF within the intraday. Sales are a priority. For longer trades, you need to wait for the completion of the upcoming decline and track the signals of buying the pair at its end.

USD/JPY

Analysis:

On the yen chart, the upward wave continues. The last section started on October 3. It has a pronounced impulse appearance. The figure above from the current rate is a powerful resistance of a large scale.

Forecast:

In the coming days, the continuation of the main motion vector is expected. At the European session, a sideways or short-term decline to the support zone is possible. An active growth phase is likely at the end of the day.

Potential reversal zones

Resistance:

- 109.20/109.50

Support:

- 108.50/108.20

Recommendations:

Today, the purchase of the instrument is recommended. Sales are risky, there is a high probability of a sharp change of rate.

USD/CHF

Analysis:

Analysis of the 4-hour franc chart shows the absence of a dominant price direction in the current year. In the short term, the trend is upward, with the generally flat nature of movements. The price supports the resistance level of a large scale.

Forecast:

In the coming sessions, the price of the pair is expected to move in the side corridor between the nearest counter zones. In the first half of the day, a decrease is likely. A short-term breakthrough of the lower boundary of the zone is not excluded. The ascending phase is expected at the end of the day or tomorrow.

Potential reversal zones

Resistance:

- 1.0010/1.1040

Support:

- 0.9950/0. Nine thousand nine hundred twenty

Recommendations:

Trading on the pair market today is possible only within the intraday style. The sequence of transactions is recommended according to the described algorithm.

Explanations: In the simplified wave analysis (UVA), the waves consist of 3 parts (A-B-C). The last unfinished wave is analyzed. The solid background of the arrows shows the formed structure, dotted - the expected movement.

Attention: The wave algorithm does not take into account the length of time the tool moves!